01—Abstract
Summary
Summary of the 10-Q filed July 24, 2025. Cited figures are marked; the original filing is the authoritative source.
Chipotle Mexican Grill, Inc. (CMG) reported its financial results for the second quarter and the first six months ended June 30, 2025.
Total revenue for the quarter increased by 3.0% year-over-year to $3.1 billiona, though comparable restaurant sales saw a decrease of 4.0%, attributed to a 4.9% drop in transactions partially offset by a 0.9% increase in average check. The company opened 61 new restaurants in the quarter, with 47 featuring Chipotlanes, and anticipates opening 315 to 345 company-owned restaurants in 2025. Net income for the quarter was $436.1 million, resulting in diluted earnings per share (EPS) of $0.32, a slight decrease from $0.33 in the prior year's quarter.
Diluted EPS for the first six months was also $0.61b, consistent with the prior year. The company's liquidity remains strong, with $2.0 billion in cash and marketable investments as of June 30, 2025. Chipotle also announced a new $500 million revolving credit facility and continued its share repurchase program, executing $997 million in repurchases during the first six months of the year.
02—Key points
Key Highlights
- Total revenue for Q2 2025 grew 3.0% to $3.1 billion, but comparable restaurant sales decreased by 4.0%.
- Net income for Q2 2025 was $436.1 million, with diluted EPS at $0.32, down from $0.33 in Q2 2024.
- Chipotle opened 61 new restaurants in Q2 2025, including 47 with Chipotlanes, and plans to open 315-345 in full-year 2025.
- The company maintained a strong liquidity position with $2.0 billion in cash and marketable investments as of June 30, 2025.
- Significant share repurchases continued, with $997 million executed in the first six months of 2025.
- New tariffs are expected to increase food, beverage, and packaging costs by approximately 50 basis points on an ongoing basis.
- New $500 million revolving credit facility was established, with no outstanding borrowings as of June 30, 2025.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ2 FY2025filed July 24, 2025Financial Statements
Q2 FY2025 against Q2 FY2024
| Line item | Q2 FY2025Q2 FY2024 | Change |
|---|---|---|
| Revenue | $3.06B$2.97B | +3.0% |
| Operating Expenses | $2.50B$2.39B | +4.9% |
| Operating Income | $559.06M$586.05M | −4.6% |
| Net Income | $436.13M$455.67M | −4.3% |
| EPS (Basic) | $0.32$0.33 | −3.0% |
| EPS (Diluted) | $0.32$0.33 | −3.0% |
| Shares Outstanding (Basic) | 1.34B1.37B | −2.0% |
| Shares Outstanding (Diluted) | 1.35B1.38B | −2.3% |
05—Questions
Frequently Asked Questions
What drove the decrease in comparable restaurant sales?
The 4.0% decrease in comparable restaurant sales for the quarter was primarily driven by a 4.9% decline in transactions. This was partially offset by a 0.9% increase in the average check.
How is Chipotle managing rising ingredient costs, particularly with the new tariffs?
Chipotle is experiencing inflation across several ingredients like steak and chicken. New tariffs enacted in April 2025 are estimated to increase food, beverage, and packaging costs by approximately 50 basis points on an ongoing basis. The company utilizes a mix of pricing protocols with suppliers and is working to mitigate risks through supplier diversification and geographic sourcing.
What is Chipotle's strategy regarding new restaurant development?
Chipotle is actively expanding its footprint, opening 61 new restaurants in the second quarter of 2025, with 47 featuring Chipotlanes. The company expects to open 315 to 345 company-owned restaurants in full-year 2025, with at least 80% including a Chipotlane.
What is the outlook for Chipotle's earnings per share (EPS)?
Diluted EPS for the second quarter of 2025 was $0.32, a slight decrease from $0.33 in the prior year. For the first six months of 2025, diluted EPS was $0.61, consistent with the prior year. Management anticipates approximately flat comparable restaurant sales for full-year 2025, which will be a key factor influencing future earnings.
06—Continue