Newport Beach-based Chipotle Mexican Grill Inc. (NYSE: CMG) reported first-quarter revenue climbed 16% to $2 billion despite recent food and labor inflation.
The quick service chain, which opened 51 new locations during the quarter, said its comparable restaurant sales climbed 9%. The company reported adjusted profit of $5.70, topping the average analyst estimate of $5.64. Its revenue also met expectations.
“Chipotle’s performance in the first quarter was strong, despite challenges from the Omicron variant and on-going inflation,” CEO Brian Niccol said in a statement.
The company said its costs for beef, avocadoes and paper rose, partially offset by menu price increases. Its operating margin was 9.4% up from 9.3% a year ago.
Chipotle forecasts 10% to 12% growth in comparable restaurant sales for the second quarter and plans to open between 235 to 250 new restaurants in 2022.
After the announcement, shares rose 3.5% to $1,488. At today’s close, the company’s market cap was $40 billion.
