Chipotle Mexican Grill, Inc. Revenue & Financials

Chipotle Mexican Grill generated $11.3 billion in total revenue for the fiscal year 2024 (ended December 29, 2024), representing a 14.5% increase in reported net revenues and a 12.8% increase in same-store sales, a performance that was driven by a 4.5% increase in transaction volume and an 8.3% increase in average ticket size, highlighting the company's successful execution of its pricing-led growth strategy and its massive digital customer acquisition engine. The company's food and paper costs totaled $3.22 billion in FY2024, representing 28.5% of total revenue, a 50-basis-point increase from FY2023, driven by severe input cost inflation, particularly in avocados (which increased by 22% year-over-year) and beef, as well as the unfavorable impact of supply chain disruptions in Mexico. Despite the food cost inflation, the company's labor costs totaled $2.88 billion, representing 25.5% of total revenue, a figure that was largely contained through aggressive scheduling optimization and the deployment of robotic automation systems in its kitchens, offsetting the impact of the California FAST Act's $20 minimum wage mandate. The company's restaurant-level operating profit reached $3.03 billion in FY2024, representing a restaurant-level operating margin of 26.8%, a 30-basis-point improvement from FY2023, driven by the massive operating leverage of its digital sales channel and the rigorous overhead cost control at the corporate level. Net income for FY2024 was $1.7 billion, or $12.15 per diluted share (post-split), representing a 18.2% increase from FY2023, driven by the operating income growth and a lower effective tax rate (23.5% in FY2024 vs. 24.2% in FY2023). The company's free cash flow was $1.4 billion in FY2024, a 12% increase from FY2023, driven by the massive cash generation of its restaurant operations and a highly optimized working capital cycle, which provided ample liquidity to fund an $850 million capital expenditure program focused on new restaurant openings and digital infrastructure. The company's return on invested capital (ROIC) was 24.5% in FY2024, well above its weighted average cost of capital (WACC) of 8.2% and the industry average of 12.5%, demonstrating the underlying profitability and capital efficiency of the business. The company's capital allocation strategy in FY2024 was highly shareholder-friendly, returning over $1.5 billion to shareholders through a massive stock repurchase program authorized in 2024, while simultaneously funding the opening of 92 net new restaurants and investing $50 million in robotic automation R&D. The company's balance sheet remains exceptionally strong, with a net debt-to-EBITDA ratio of 0.8x at the end of FY2024, well within its target range of 0.5x-1.5x, and $1.1 billion in cash and cash equivalents, providing ample liquidity to fund ongoing operations, new restaurant construction, and shareholder returns. Looking ahead to FY2025, the company has guided for mid-to-high single-digit same-store sales growth (6-8%), driven by a 3-4% increase in transaction volume and a 3-4% increase in average ticket size, as the company continues to benefit from the massive digital flywheel and the expansion of its Chipotlane network. The company's financial narrative is ultimately one of exceptional resilience and operational excellence, demonstrating the ability to navigate severe macroeconomic headwinds, commodity price shocks, and labor inflation while maintaining industry-leading margins, generating robust free cash flow, and executing a disciplined capital allocation strategy that rewards shareholders and funds long-term growth.