• Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock
Stock

Chipotle has been on a hot streak with customers

by July 25, 2024
written by July 25, 2024

Chipotle Mexican Grill on Wednesday reported quarterly earnings and revenue that topped analysts’ expectations as it saw higher traffic at its restaurants, bucking an industry slowdown.

Shares of the company rose after the closing bell. As of Wednesday’s close, Chipotle’s stock had slid 17% this month, hurt by investor concerns about the health of the restaurant industry. In late June, the company executed a 50-for-1 stock split.

From April: Chipotle reports big profit as diners shake off price increases

The burrito chain reported second-quarter net income of $455.7 million, or 33 cents per share, up from $341.8 million, or 25 cents per share, a year earlier. Chipotle’s profits rose from the year-ago period due to price hikes that helped offset higher avocado prices and greater usage of oil to fry tortilla chips this quarter.

Excluding items, Chipotle earned 34 cents per share.

Net sales climbed 18.2% to $2.97 billion.

The company’s same-store sales rose 11.1% in the quarter, topping StreetAccount estimates of 9.2%.

Demand for its food peaked in April, CEO Brian Niccol said on CNBC’s “Closing Bell: Overtime” on Wednesday. Same-store sales settled around 6% higher in June. Executives said that July has been more difficult to understand, given the Fourth of July holiday, weather disruptions in Texas and a recent tech outage.

Traffic to its restaurants increased 8.7%, despite backlash on social media fueled by customers who said their burrito bowls are smaller. The company has denied reducing its portion sizes.

“We have focused in on those with outlier portion scores based on consumer surveys, and we are re-emphasizing training and coaching around ensuring we are consistently making bowls and burritos correctly,” Niccol told analysts on the company’s conference call. “We have also leaned in and re-emphasized generous portions across all of our restaurants, as it is a core brand equity of Chipotle.”

Restaurant transactions grew across every income level, Niccol said. Other consumer companies, from PepsiCo to McDonald’s, have said in recent months that low-income customers are pulling back more, pressuring their sales. Chipotle, like many fast-casual chains, benefits from a customer base that tends to make higher incomes.

The chain brought back its chicken al pastor in March as a limited-time menu item. More customers have also been ordering its barbacoa, which underwent a name change earlier this year that added “braised beef” to improve customer awareness of the option.

Chipotle opened 52 new company-owned locations and one new international licensed restaurant during the quarter.

The company reiterated its full-year outlook that same-store sales will grow by a mid- to high-single digit percentage. Chipotle also anticipates that it will open between 285 to 315 new restaurants this year.

This post appeared first on NBC NEWS
0 comment
0
FacebookTwitterPinterestEmail

previous post
Kamala Harris vetting list of possible running mates with 4 stand-outs: report
next post
6 House Dems vote with GOP to condemn Kamala Harris for ‘border czar’ role

related articles

U.S. foreign tax bill sends jitters across Wall...

May 30, 2025

Amazon taps Xbox co-founder to lead new team...

May 30, 2025

Nvidia results spark global chip rally

May 30, 2025

Boeing to resume airplane deliveries to China next...

May 29, 2025

E.l.f. Beauty to acquire Hailey Bieber skin care...

May 29, 2025

Dick’s Sporting Goods stands by full-year guidance —...

May 28, 2025

Macy’s CEO says retailer will hike some prices...

May 28, 2025

23andMe to delist from Nasdaq, deregister with SEC

May 28, 2025

Walmart fined for shipping realistic toy guns to...

May 28, 2025

Why Trump’s iPhone tariff threat might not be...

May 25, 2025
Enter Your Information Below To Receive Free Trading Ideas, Latest News, And Articles.


Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest News

  • Lack of charging infrastructure hinders electric vehicle adoption in Europe, new poll reveals

    July 23, 2024
  • INBS Stock: Biosensor Innovator’s Market Challenges

    August 23, 2024
  • The euro index recovers while the yen hits a new high

    August 5, 2024
  • Lawmaker unveils constitutional amendment to give Trump third term

    January 24, 2025
  • Ramaswamy warns GOP on several ‘hard realities’ to address before criticizing Harris: ‘Hurting our chances’

    July 26, 2024

Popular Posts

  • 1

    Secret Service admits leaning on ‘state and local partners’ after claim it ignored Trump team’s past requests

    July 21, 2024
  • 2

    Elon and Vivek should tackle US funding for this boondoogle organization and score a multimillion dollar win

    December 4, 2024
  • 3

    Forex Profit Calculator: Maximize Your Trading Potential

    July 10, 2024
  • 4

    Five more House Democrats call on Biden to drop out, third US senator

    July 19, 2024
  • 5

    Biden calls to ‘lower the temperature’ then bashes Trump in NAACP speech

    July 17, 2024

Categories

  • Economy (829)
  • Editor's Pick (4,735)
  • Investing (624)
  • Stock (775)

Latest Posts

  • Anthropic valued at over $61 billion in latest funding round

    March 3, 2025
  • Cryptocurrencies Prices UK: Market Update for July 2024

    July 22, 2024
  • Legal experts say Kash Patel’s opposition to warrant requirement is not a major split

    January 31, 2025

Recent Posts

  • Trump previously predicted Biden would pardon son Hunter

    December 2, 2024
  • Supreme Court to weigh state ban on transgender ‘medical treatments’ for minors

    December 4, 2024
  • The great airlift: how Apple ferried 1.5M iPhones from India to the US to beat Trump tariffs

    April 10, 2025

Editor’s Pick

  • Ex-Obama campaign manager joins Harris team; VP keeps rest of Biden’s squad intact

    August 2, 2024
  • Trump’s ‘STOP’ message to Putin echoes Biden’s ‘don’t’ from 2022

    April 25, 2025
  • Harris recruits pop stars Usher, Lizzo for swing state pushes: ‘It’s going to be a tight race’

    October 20, 2024
  • About us
  • Contacts
  • Privacy Policy
  • Terms & Conditions

Disclaimer: moneyrisetoday.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2025 moneyrisetoday.com | All Rights Reserved

Money Rise Today – Investing and Stock News
  • Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock