Chipotle earnings: Price increases, new locations boost bottom line despite inflation

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Chipotle Mexican Grill said Tuesday that its first-quarter profit and revenue rose as it saw more sales and dealt with inflation by raising menu prices.

The fast-food restaurant chain said its comparable-restaurant sales were up 9% year over year; in-restaurant sales rose 33%; and that it opened 51 new restaurants in the quarter. Digital sales made up 41.9% of total food and beverage revenue.

Chipotle CMG, -5.13% shares see-sawed after hours but stayed in positive territory after the company’s earnings call concluded, ending the extended session up nearly 4% after falling more than 5% in the regular session to close at $1,438.21. Hartung said on the call that the COVID-19 pandemic continues to make it hard to issue specific financial forecasts. For the second quarter, the company said it expects comparable-restaurant sales growth in the 10% to 12% range if current trends continue. Hartung also said the company expects to open 235 to 250 new restaurants this year.

See: ‘It’s like being ripped into two’: Chipotle workers overwhelmed by online orders and furious customers

 

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