Chipotle Mexican Grill smashed fourth-quarter earnings and sales expectations amid traffic gains that bucked recent industry trends.
The quick-service giant’s net sales rose 15.4 per cent to $2.52bn in the quarter ended 31 December, topping estimates of $2.49bn. Digital sales represented 36.1 per cent of total food and beverage revenue.
Chipotle, which opened 271 restaurants in 2023, said it plans to open between 285 and 315 new outposts in 2024. The company, which has set a long-term target of 7,000 restaurants in North America, ended the year with a total of 3,437 locations.
“2023 was an outstanding year where we delivered strong transaction growth driven by throughput and menu innovation, opened a record number of new restaurants, surpassed $3M in AUVs and formed our first international partnership,” said Brian Niccol, Chairman and CEO, Chipotle. “I am more confident than ever that we have the right people and the right strategy to achieve our long-term growth goals of reaching 7,000 restaurants in North America, $4M in AUVs, expanding our industry leading margins and returns and furthering our purpose of Cultivating a Better World globally.”
