A customer carries a Chipotle Mexican Grill Inc. bag outside a restaurant in San Francisco, California, U.S., on Monday, July 20, 2020.
David Paul Morris | Bloomberg | Getty Images
Chipotle Mexican Grill is expected to report its third-quarter earnings after the bell Wednesday.
Here’s what Wall Street analysts surveyed by Refinitiv are expecting:
- Earnings per share: $3.47 expected
- Revenue: $1.59 billion expected
In the early months of the coronavirus pandemic, the burrito chain saw its same-store sales plummet. But those numbers turned positive in June, bolstered by loosened restrictions and skyrocketing digital sales. In the company’s second quarter, its digital sales more than tripled.
Operating margins took a hit last quarter from a higher volume of third-party delivery orders and temporary bumps to worker pay. The company’s quarterly adjusted earnings plunged 90% from the same time a year ago. Executives said that they don’t expect normalized earnings and margins to return until the fourth quarter.
Still, analysts are optimistic about Chipotle’s third quarter, citing a free delivery promotion on Mondays and the return of its carne asada option at the end of September.
Shares of Chipotle, which has a market value of $38 billion, have risen 62% so far this year.