•
Mar 31, 2022

Chipotle Q1 2022 Earnings Report

Chipotle's Q1 2022 earnings were driven by a 9% increase in comparable restaurant sales and new restaurant openings.

Key Takeaways

Chipotle Mexican Grill, Inc. reported strong first quarter 2022 results, with a 16% increase in total revenue to $2.0 billion and a 9% increase in comparable restaurant sales. The company opened 51 new restaurants, including 42 with a Chipotlane. Diluted earnings per share increased to $5.59, a 25.6% increase from $4.45 in the first quarter of 2021.

Total revenue increased by 16.0% to $2.0 billion.

Comparable restaurant sales increased by 9.0%.

In-restaurant sales increased 33.1%, while digital sales represented 41.9% of food and beverage revenue.

The company opened 51 new restaurants, including 42 Chipotlanes.

Total Revenue
$2.02B
Previous year: $1.74B
+16.0%
EPS
$0.11
Previous year: $0.11
+0.0%
Comparable Sales Increase
9%
Previous year: 17.2%
-47.7%
Total Restaurant Count
3.01K
Previous year: 2.8K
+7.5%
Net Restaurant Openings
51
Previous year: 35
+45.7%
Gross Profit
$419M
Previous year: $389M
+7.8%
Cash and Equivalents
$616M
Previous year: $695M
-11.4%
Free Cash Flow
$187M
Previous year: $219M
-14.9%
Total Assets
$6.47B
Previous year: $6.15B
+5.2%

Chipotle

Chipotle

Forward Guidance

For 2022, Chipotle anticipates second quarter comparable restaurant sales growth in the 10% to 12% range and between 235 to 250 new restaurant openings.

Positive Outlook

  • Second quarter comparable restaurant sales growth, assuming current sales trends continue, in the 10% to 12% range
  • Between 235 to 250 new restaurant openings (including 5 to 10 relocations to add a Chipotlane)
  • Company is planning on new restaurant openings
  • Company is adding Chipotlanes to new restaurants
  • Company is planning on relocations to add Chipotlanes

Challenges Ahead

  • Assumes construction and permit delays don’t worsen
  • Estimated underlying effective full year tax rate between 25% and 27% before discrete items
  • Uncertainty regarding the duration and severity of the ongoing COVID-19 pandemic
  • Increasing wage inflation and the increasingly competitive labor market
  • Increasing supply costs (including beef, avocados and paper)