Chipotle Reports $2.875 Billion Revenue in Q1 2025, Net Income Rises to $386.6 Million

Chipotle Mexican Grill, Inc. reported a total revenue of $2.875 billion for the first quarter of 2025, reflecting a 6.4% increase from $2.702 billion in the same period last year. The company's food and beverage revenue rose by 6.5% to $2.860 billion, while delivery service revenue decreased by 11.4% to $15.4 million. Net income for the quarter was $386.6 million, up from $359.3 million a year earlier, resulting in diluted earnings per share of $0.28, a 7.7% increase from $0.26 in the prior year.

In comparison to the previous fiscal period, Chipotle experienced a decline in comparable restaurant sales, which decreased by 0.4%. This decline was attributed to a 2.3% drop in customer transactions, partially offset by a 1.9% increase in average check size. The company noted that consumer spending has slowed, which has impacted transaction volumes, alongside adverse weather conditions affecting customer turnout. Digital sales accounted for 35.4% of total food and beverage revenue during the quarter.

Operationally, Chipotle opened 57 new restaurants in the first quarter, including 48 locations featuring the Chipotlane drive-thru concept. The company plans to open approximately 315 to 345 new restaurants throughout 2025, with at least 80% expected to include a Chipotlane. As of March 31, 2025, Chipotle operated a total of 3,781 restaurants, comprising 3,697 in the U.S. and 84 internationally, along with five licensed locations. The company continues to focus on expanding its footprint while managing operational costs.

The filing also highlighted significant changes in operating expenses. Total operating expenses increased to $2.396 billion from $2.261 billion year-over-year, driven by higher food, beverage, and packaging costs, which rose by 7.6% due to inflation and increased ingredient prices. Labor costs also increased by 8.9%, reflecting wage inflation and a competitive labor market. General and administrative expenses decreased by 15.6%, primarily due to lower costs associated with conferences and legal contingencies.

Looking ahead, Chipotle anticipates generating positive cash flow for the foreseeable future, supported by its strong cash and investment balance of approximately $2 billion as of March 31, 2025. The company has $874.7 million available for share repurchases, which includes a recent authorization of $400 million. Chipotle remains committed to its growth strategy while navigating challenges such as inflation and changing consumer behavior.