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Chipotle price hikes drive profit growth – and the chain says more increases are coming


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People visit a Chipotle restaurant on February 09, 2022 in Miami, Florida.
Joe Raedle | Getty Images

Chipotle Mexican Grill is expected to report its second-quarter earnings after the bell on Tuesday.

Here’s what Wall Street analysts surveyed by Refinitiv are expecting:

Earnings: $9.04 per shareRevenue: $2.24 billion

Like many other restaurants, the burrito chain has leaned on price increases as its food and labor costs have risen. So far, executives are confident in Chipotle’s pricing power, saying that consumer behavior hasn’t changed yet.

But that could change this quarter as inflation keeps accelerating and wallets start to feel the pinch. McDonald’s executives said on the company’s earnings call earlier on Tuesday that it’s starting to see some full-service and fast-casual diners trade down to its Big Macs and McNuggets.

Chipotle had projected same-store sales growth of 10% to 12% for the second quarter. Wall Street is expecting the company to report same-store sales of 10.9%, according to StreetAccount estimates.

Chipotle shares have fallen 25% this year, dragging its market value down to $37.16 billion.

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