Chipotle earnings beat, sales surge as dine-in customers return to restaurants

Chipotle Mexican Grill on Tuesday reported quarterly revenue that surpassed pre-pandemic levels as dine-in customers returned to its restaurants.

The company also released a same-store sales forecast for its third quarter.

Shares rose 5% in extended trading.

Here’s what the company reported compared with what Wall Street was expecting, based on a survey of analysts by Refinitiv:

Earnings per share: $7.46 adjusted vs. $6.52 expected
Revenue: $1.89 billion vs. $1.88 billion expected
Chipotle reported fiscal second-quarter net income of $188 million, or $6.60 per share, up from $8.2 million, or 29 cents per share, a year earlier. Food and beverage costs fell nearly 3% from a year ago due to menu price hikes and lower beef prices.

Excluding restaurant asset impairments, closure costs, and other items, the burrito chain earned $7.46 per share, topping the $6.52 per share expected by analysts surveyed by Refinitiv.

Net sales rose 38.7% percent to $1.89 billion, beating expectations of $1.88 billion. Same-store sales climbed 31.2%. A year ago, the company’s same-store sales fell more than 9% after lockdowns hit demand.

Digital sales jumped 10.5%, making up 48.5% of the company’s quarterly sales. In the first quarter, Chipotle’s online orders overtook its in-person sales for the first time.

Chipotle opened 56 new locations and closed five restaurants during the quarter.

Looking ahead to the third quarter, the company said that it is forecasting same-store sales in the low-to-mid double digits, assuming that current trends continue. During the third quarter of 2020, same-store sales rose 8.3%.

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