Chipotle Mexican Grill(US:CMG)2025-10-29 21:48Financial Performance - Total revenue for Q3 2025 reached $3,003,444,000, a 7.5% increase from $2,793,576,000 in Q3 2024[9] - Net income for Q3 2025 was $382,103,000, compared to $387,388,000 in Q3 2024, reflecting a slight decrease of 1.5%[9] - Earnings per share (EPS) for Q3 2025 was $0.29, up from $0.28 in Q3 2024, indicating a 3.6% increase[9] - The company reported a comprehensive income of $381,517,000 for Q3 2025, slightly down from $388,462,000 in Q3 2024[9] - Net income for the nine months ended September 30, 2025, was $1,204,829, compared to $1,202,346 for the same period in 2024, reflecting a slight increase[13] - The company reported a net income of $387,388,000 for the quarter ending June 30, 2024, reflecting a strong performance compared to previous quarters[12] Assets and Liabilities - Total assets as of September 30, 2025, amounted to $9,281,848,000, a 0.8% increase from $9,204,374,000 at the end of 2024[8] - Total liabilities increased to $6,060,010,000 as of September 30, 2025, compared to $5,548,828,000 at the end of 2024, marking a 9.2% rise[8] - The total shareholders' equity as of September 30, 2025, was $3,221,838,000, down from $3,655,546,000 at the end of 2024, reflecting a decrease of 11.9%[8] - Long-term investments decreased significantly to $347,694,000 as of September 30, 2025, from $868,025,000 at the end of 2024, a decline of 60%[8] Cash Flow and Investments - Cash and cash equivalents decreased to $698,743,000 as of September 30, 2025, down from $748,537,000 at the end of 2024, a decline of 6.6%[8] - Net cash provided by operating activities increased to $1,688,082 for the nine months ended September 30, 2025, up from $1,578,306 in 2024, representing a growth of approximately 6.9%[13] - Cash provided by operating activities was $1.7 billion for the nine months ended September 30, 2025, compared to $1.6 billion for the same period in 2024[89] - Cash used in investing activities was $7.3 million for the nine months ended September 30, 2025, significantly lower than $701.5 million in 2024[90] - Cash used in financing activities increased to $1.7 billion for the nine months ended September 30, 2025, compared to $735.0 million in 2024, primarily due to increased stock repurchases[91] Stock Repurchase and Compensation - The company repurchased common stock worth $151,877,000 during the quarter ending March 31, 2024, compared to $97,663,000 in the previous quarter, showing an increase of about 55%[11] - The company repurchased common stock totaling $1,683,720 during the nine months ended September 30, 2025, compared to $662,605 in 2024, marking a significant increase in stock buybacks[13] - A total of 16,193,997 shares were repurchased at an average price of $42.39 per share during the period from July 1 to September 30, 2025[102] - The total dollar value of shares that may yet be purchased under the plans is approximately $715,777,142[102] - Total stock-based compensation expense for the nine months ended September 30, 2025, was $95,334 million, an increase from $88,103 million in 2024[37] Restaurant Operations - The company operated 3,916 restaurants as of September 30, 2025, including 3,822 in the U.S. and 94 international locations[15] - The company opened 84 new restaurants in Q3 2025, including 64 with a Chipotlane, and plans to open approximately 315 to 345 company-owned restaurants in 2025[62] - The company anticipates opening new restaurants in 2025 and 2026, including locations with Chipotlanes, as part of its growth strategy[58] - Comparable restaurant sales increased by 0.3% for Q3 2025, driven by a 1.1% increase in average check, partially offset by a 0.8% decline in transactions[61] Revenue Breakdown - Total revenue for the U.S. segment for the three months ended September 30, 2025, was $2,937,396, up from $2,741,395 in 2024, representing an increase of approximately 7.15%[57] - Food and beverage revenue for the three months ended September 30, 2025, was $2,923,260, compared to $2,725,898 in 2024, indicating a growth of about 7.26%[57] - Digital sales accounted for 36.7% of total food and beverage revenue in Q3 2025[61] Costs and Expenses - Restaurant operating costs for Q3 2025 totaled $2,526,272,000, up from $2,320,320,000 in Q3 2024, representing an increase of 8.9%[9] - Labor costs for the three months ended September 30, 2025, were $740,769, compared to $684,630 in 2024, which is an increase of approximately 8.23%[57] - Food, beverage, and packaging costs were $902.4 million in Q3 2025, accounting for 30.0% of total revenue, a decrease of 0.6% compared to the previous year[69] - Other operating costs rose by 16.6% to $450.4 million in Q3 2025, making up 15.0% of total revenue[76] - General and administrative expenses for the three months ended September 30, 2025, were $146.7 million, a 15.9% increase from $126.6 million in 2024[79] Tax and Compliance - The effective income tax rate for the three months ended September 30, 2025, was 23.1%, up from 22.9% in the same period of 2024[42] - Provision for income taxes for the three months ended September 30, 2025, was $114.9 million, a slight decrease of 0.3% from $115.2 million in 2024[81] - The company had no outstanding borrowings under its $500,000 revolving credit facility as of September 30, 2025, and was in compliance with all covenants[53]