Chipotle Q2 Earnings: Revenue Miss, EPS In Line, 2025 Comparable Sales Now Expected To Be 'About Flat,' Shares Tumble

Chipotle Mexican Grill Inc CMG reported second-quarter financial results after the market close on Wednesday. Here’s a rundown of the fast-casual restaurant chain company’s report.

Q2 Earnings: Chipotle reported second-quarter revenue of $3.06 billion, missing analyst estimates of $3.11 billion. The company reported adjusted earnings of 33 cents per share, in line with analyst estimates, according to Benzinga Pro.

Total revenue increased 3% year-over-year, while comparable restaurant sales decreased 4% year-over-year due to lower transactions of 4.9%, partially offset by a 0.9% increase in average check.

Chipotle said revenue growth was driven by new restaurant openings. The company opened 61 new restaurants in the quarter, and 47 of those locations included a Chipotlane.

Digital sales represented 35.5% of food and beverage revenue. Restaurant level operating margin was 27.4% in the second quarter. Food, beverage and packaging costs came in at 28.9% of total revenue, down from 29.4% in the second quarter of 2024. Chipotle said the decrease was primarily due to the benefit of menu price increases in 2024, as well as cost of sales efficiencies.

“We are seeing momentum build as we rolled out our summer marketing initiatives and as our comparisons ease,” said Scott Boatwright, CEO of Chipotle.

“I am optimistic that our positive momentum will continue as we further support our world-class people with new tools to improve execution, introduce new menu innovations, amplify our rewards program, and introduce this great brand to more communities around the globe.”

Chipotle said it repurchased $435.9 million of its stock in the quarter and had $838.8 million remaining on its buyback as of June 30, which includes an additional $400 million in share repurchases approved on June 10.

Outlook: Chipotle expects full-year 2025 comparable restaurant sales to be “about flat,” versus prior guidance for growth in the low-single-digit range. The company continues to expect to open between 315 and 345 new restaurants in 2025, with more than 80% including a Chipotlane.

Chipotle’s management team will further discuss the quarter on an earnings call with investors and analysts at 4:30 p.m. ET.

CMG Price Action: Chipotle shares were down 10.70% in after-hours, trading at $47.20 at the time of publication on Wednesday, according to Benzinga Pro.

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