CHIPOTLE ANNOUNCES FIRST QUARTER 2026 RESULTS - Apr 29, 2026
CHIPOTLE ANNOUNCES FIRST QUARTER 2026 RESULTS
RETURN TO POSITIVE TRANSACTIONS DRIVES 0.5% COMPARABLE RESTAURANT SALES GROWTH; REVENUE INCREASES 7.4% TO $3.1 BILLION
NEWPORT BEACH, Calif., April 29, 2026 / PRNewswire / -- Chipotle Mexican Grill, Inc. (NYSE: CMG) today reported financial results for its first quarter ended March 31, 2026.
First quarter highlights, year over year:
- Total revenue increased 7.4% to $3.1 billion
- Comparable restaurant sales increased 0.5%
- Operating margin was 12.9%, a decrease from 16.7%
- Adjusted restaurant level operating margin was 23.7%, a decrease from 26.2%
- Diluted earnings per share was $0.23, a 17.9% decrease from $0.28
- Adjusted diluted earnings per share was $0.24, a 17.2% decrease from $0.29
- Opened 49 company-owned restaurants, with 42 locations including a Chipotlane.
"Our first quarter exceeded expectations as we advanced our Recipe for Growth strategy, delivering tangible progress across operations, digital, menu innovation, people, and development," said Scott Boatwright, Chief Executive Officer, Chipotle. "We are excited to welcome a new Chief Brand Officer and a new Chief Digital Officer to further strengthen our value proposition, sharpen our brand messaging, and accelerate innovation—positioning Chipotle for sustained, long-term growth as we advance on our path to becoming a global iconic brand."
Results for the three months ended March 31, 2026:
Total revenue in the first quarter of 2026 was $3.1 billion, an increase of 7.4% compared to the first quarter of 2025. The increase was driven by new restaurant openings and, to a lesser extent, a 0.5% increase in comparable restaurant sales due to higher transactions of 0.6%, partially offset by a 0.1% decrease in average check. Digital sales represented 38.6% of total food and beverage revenue.
During the first quarter we opened 49 company-owned restaurants, of which 42 included a Chipotlane. Chipotlanes continue to perform well and are helping enhance guest access and convenience, as well as increase new restaurant sales, margins and returns.
Food, beverage and packaging costs in the first quarter of 2026 were 29.6% of total revenue, an increase from 29.2% in the first quarter of 2025. The increase was driven by inflation, primarily in beef and freight, and higher produce usage. These increases were partially offset by lower dairy and avocado costs, and the benefit of menu price increases.
Labor costs in the first quarter of 2026 were 26.1% of total revenue, an increase from 25.0% in the first quarter of 2025. The increase was primarily driven by wage inflation, lower average restaurant sales volumes, and higher benefits expense, including performance-based bonuses. These headwinds were partially offset by the benefit of menu price increases. Excluding a 40 basis point impact from costs related to certain legal proceedings, adjusted labor costs were 25.7% of total revenue, compared to 25.0% in the first quarter of 2025.
| CHIPOTLE MEXICAN GRILL, INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME (in thousands, except per share data) (unaudited) |
Three months ended March 31, |
| 2026 | |
| Food and beverage revenue | $ 3,072,730 |
| Delivery service revenue | 15,512 |
| Total revenue | 3,088,242 |
| Restaurant operating costs | |
| Food, beverage and packaging | 913,346 |
| Labor | 805,411 |
| Occupancy | 169,881 |
| Other operating costs | 480,643 |
| General and administrative expenses | 203,720 |
| Depreciation and amortization | 96,718 |
| Pre-opening costs | 11,641 |
| Impairment, closure costs, and asset disposals | 9,819 |
| Total operating expenses | 2,691,179 |
| Income from operations | 397,063 |
| Interest and other income, net | 8,742 |
| Income before income taxes | 405,805 |
| Provision for income taxes | 102,981 |
| Net income | $ 302,824 |
| Earnings per share: | |
| Basic | $ 0.23 |
| Diluted | $ 0.23 |
| Weighted-average common shares outstanding: | |
| Basic | 1,298,220 |
| Diluted | 1,301,859 |
Outlook
For 2026, management is anticipating the following:
- Full year comparable restaurant sales to be about flat
- 350 to 370 new restaurant openings, which includes 10 to 15 international partner-operated restaurants. Around 80% of company-owned restaurants will have a Chipotlane
- An estimated underlying effective full year tax rate between 24% and 26% before discrete items
Definitions
The following definitions apply to these terms as used throughout this release:
- Comparable restaurant sales and comparable restaurant transactions represent the change in period-over-period total revenue or transactions for company-owned restaurants in operation for at least 13 full calendar months.
- Average restaurant sales refers to the average trailing 12-month food and beverage revenue for company-owned restaurants in operation for at least 12 full calendar months.
- Restaurant level operating margin represents total revenue less direct restaurant operating costs, expressed as a percent of total revenue.
- Digital sales represent food and beverage revenue for company-owned restaurants generated through the Chipotle website, Chipotle app or third-party delivery aggregators.
- Partner-operated restaurants - Chipotle restaurants over which Chipotle does not have a controlling financial interest and for which Chipotle does not directly manage day-to-day operations.
About Chipotle
Chipotle Mexican Grill, Inc. (NYSE: CMG) is cultivating a better world by serving responsibly sourced, classically-cooked, real food with wholesome ingredients without artificial colors, flavors or preservatives. There are over 4,100 restaurants as of March 31, 2026, in the United States, Canada, the United Kingdom, France, Germany, and the Middle East. Chipotle is committed to making its food more accessible to everyone while continuing to be a brand with a demonstrated purpose as it leads the way in digital, technology and sustainable business practices.