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Chipotle shares fall after burrito chain misses on same store sales growth

Published 2023-07-26, 05:00 p/m
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CMG
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Investing.com -- Chipotle Mexican Grill Inc (NYSE:CMG) shares sank 8% after falling short on same store sales for the recent quarter.

The burrito restaurant chain beat expectations for second quarter profit and reported revenue that was mostly inline with expectations.

Second quarter adjusted profit of $12.65 a share beat the consensus of $12.31 a share. Revenue, which rose more than 13%, was $2.5 billion as was the consensus estimate.

Same store sales rose 7.4%, while analysts had expected 7.5%.

Chipotle said its restaurant level operating margin improved to 27.5%, up 230 basis points from last year.

It opened 47 new restaurants in the quarter, including 40 locations that have a drive-thru Chipotlane. 

Chipotle’s third quarter guidance points to same-store sales growth in the low-to-middle single digits, and it reaffirmed its annual guidance for comparable sales in the mid-to-high single digits.

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