Chipotle sales disappoint, stock falls 6%

Chipotle founder steve ellsBloomberg TVChipotle founder Steve Ells.

Chipotle’s fourth quarter results are out, and the numbers are mostly in-line with expectations, though same-store sales came in below expectations.

In after hours trade following the results, shares of the Mexican food chain were down as much as 7%.

In the fourth quarter:

  • Earnings per share totaled $US3.84.
  • Same-store sales rose 16.1%.
  • Revenue totaled $US1.07 billion.

The company also opened 60 new restaurants in the quarter.

Chipotle said that in the fourth quarter, food costs totaled 35% of revenues, up 1.1% due to the increased costs of dairy and beef products. Chipotle also announced plans to repurchase $US100 million worth of its common stock.

In 2015, the company expects to open 190-205 new restaurants and expects same-store sales to rise by low- to mid-single digits.

Here is what Wall Street was looking for:

  • Earnings per share: $US3.79
  • Revenue: $US1.074 billion
  • Same-store sales: +16.5%
  • New locations: +63

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