Chipotle reported second quarter revenue of $3.3 billion, a 9.3% year-over-year increase, driven primarily by new restaurant openings. Diluted EPS was flat year-over-year at $0.32. Comparable restaurant sales grew 2.2%, missing analyst estimates, and the company guided to low single-digit comparable sales growth for the full year.
Key Highlights
- Comparable restaurant sales grew 2.2%, a notable miss from consensus expectations, consisting of a 1.0% increase in transactions and a 1.2% increase in average check.
- Restaurant-level operating margin contracted to 25.2% from 27.4% a year ago, which the company attributed to inflation in beef and freight costs.
- The company continued its expansion by opening 100 new company-owned restaurants during the quarter, 80 of which included a Chipotlane drive-thru.
- Digital sales grew to 38.3% of food and beverage revenue, up from 35.5% in the same quarter last year.