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Investing.com -- Chipotle Mexican Grill Inc (NYSE:CMG) reported first-quarter earnings that were mostly in line, as weak comparable restaurant sales sent shares down 2.5% in after-hours trading on Tuesday.
The fast-casual restaurant chain posted adjusted earnings per share of $0.29, in-line with analyst expectations. Revenue for the quarter came in at $2.9 billion, up 6.4% YoY but below the consensus estimate of $2.98 billion.
Comparable restaurant sales decreased 0.4% in the quarter, driven by lower transactions of 2.3%, partially offset by a 1.9% increase in average check. The company cited weather and a slowdown in consumer spending as headwinds impacting results.
"While our first quarter results were impacted by several headwinds including weather and a slowdown in consumer spending, our teams continue to make significant progress improving the execution in our restaurants," said Scott Boatwright, Chief Executive Officer of Chipotle.
The company opened 57 new company-owned restaurants during the quarter, with 48 locations including a Chipotlane. Digital sales represented 35.4% of total food and beverage revenue.
For the full year 2025, Chipotle anticipates comparable restaurant sales growth in the low single-digit range and plans to open 315 to 345 new company-owned restaurants.
The stock’s decline following the earnings release suggests investors were disappointed by the weaker-than-expected sales and comparable restaurant performance in the first quarter.