Chipotle Mexican Grill (CMG) Q1 2026 earnings
A Chipotle brand is displayed on an indication exterior a restaurant on Jan. 9, 2026 in San Diego, CA.
Kevin Carter | Getty Images
Chipotle Mexican Grill on Wednesday reported stunning same-store gross sales progress, signaling the burrito chain could possibly be beginning to put final yr’s woes behind it.
Here’s what the corporate reported in contrast with what Wall Street was anticipating, primarily based on a survey of analysts by LSEG:
- Earnings per share: 24 cents adjusted, consistent with expectations
- Revenue: $3.09 billion vs. $3.07 billion anticipated
Chipotle reported first-quarter web revenue of $302.8 million, or 23 cents per share, down from $386.6 million, or 28 cents per share, a yr earlier. Higher efficient tax charges, wage inflation and rising beef costs weighed on their margins through the quarter.
Excluding authorized bills, restructuring prices and different objects, the corporate earned 24 cents per share.
Net gross sales rose 7.4% to $3.09 billion, boosted by new retailer openings.
The firm’s same-store gross sales grew 0.5%, reversing the fourth quarter’s declines. Wall Street was anticipating that its same-store gross sales would shrink 0.7%, primarily based on StreetAccount estimates.
CEO Scott Boatwright mentioned in a press release that the outcomes exceeded Chipotle’s expectations for the quarter.
Traffic to Chipotle eating places elevated 0.6%. In the year-ago interval, the chain noticed transactions dip 2.3%, an early warning signal that diners weren’t visiting as continuously.
While many restaurant chains noticed site visitors and gross sales weaken in 2024, Chipotle initially bucked the development. But final yr it was robust for the fast-casual chain and different eating places at comparable value factors. Customers, involved concerning the broader economic system and their disposable incomes, weren’t going to their eating places as typically to save cash.
Chipotle addressed the downturn by making an attempt to enhance restaurant operations and including new menu objects. On Monday, the corporate introduced Fernando Machado, an alumnus of Restaurant Brands International, as its latest chief model officer.
For the total yr, the corporate reiterated its earlier projection of flat same-store gross sales. Executives beforehand mentioned the outlook is “conservative,” citing unpredictable shopper developments. The economic system has solely grow to be extra unstable since Chipotle’s newest earnings report; The US battle with Iran has led to climbing gas costs, and few firms have opted to boost their full-year outlooks in latest weeks.
