Chipotle Mexican Grill, Inc. reported its third-quarter 2026 financial results on October 28, 2026, disclosing total revenue of $3.3 billion, a 2.1% comparable restaurant sales increase, and a year-over-year decline in net income to $339.9 million.

Key Highlights

  • Total revenue up 9.6%: Revenue reached $3.3 billion for the quarter ended September 30, 2026, compared to the third quarter of 2025.
  • Comparable sales rose 2.1%: The increase included a 1.3% rise in average check and a 0.8% increase in transactions, according to the filing.
  • Net income declined: Net income was $339.9 million, or $0.27 per diluted share, down from $382.1 million, or $0.29 per diluted share, in Q3 2025.
  • Restaurant openings: The company opened 84 company-owned restaurants, with 53 including a Chipotlane, plus five international partner-operated restaurants.
  • Digital sales share increased: Digital sales represented 38.8% of total food and beverage revenue, up from 36.7% in Q3 2025.
  • Share repurchases: Chipotle repurchased $110.0 million of stock at an average price of $34.05 per share during the quarter, with $1.6 billion remaining under board-authorized repurchase programs as of September 30, 2026.
  • G&A expenses rose: General and administrative expenses were $185.2 million, compared to $146.7 million in Q3 2025.

Chipotle's Q3 2026 Revenue Growth Accompanied by Margin Pressure and Higher Costs

According to the filing, Chipotle Mexican Grill (NYSE:CMG) reported third-quarter 2026 total revenue of $3.3 billion, a 9.6% increase over the same period in 2025. The company attributed this growth primarily to new restaurant openings and, to a lesser extent, comparable restaurant sales. Operating margin contracted to 13.7% from 15.9% in Q3 2025, and restaurant level operating margin decreased to 23.3% from 24.5%.

The filing disclosed that food, beverage and packaging costs fell to 29.5% of total revenue from 30.0%, driven by menu price increases, tariff relief, and favorable limited-time offer mix, partially offset by inflation in beef and freight and higher protein usage. Labor costs rose to 25.7% of total revenue from 25.2%, with the company citing lower sales volumes, higher employee compensation including wage inflation and performance-based bonuses, additional restaurant labor for promotional activities, and increased insurance costs. General and administrative expenses increased to $185.2 million from $146.7 million, driven by stock-based compensation, performance bonuses, and outside services related to corporate initiatives.

The effective income tax rate for Q3 2026 was 25.6%, up from 23.1% in Q3 2025, which the filing attributed to an increase in nondeductible expenses and a reduction in tax credits. Adjusted net income was $344.6 million, or $0.27 per adjusted diluted share, compared to $389.9 million, or $0.29 per adjusted diluted share, in Q3 2025. For full-year 2026, the company disclosed that management continues to anticipate comparable restaurant sales growth in the low single-digit range and 350 to 370 new restaurant openings, with around 80% of new company-owned restaurants expected to include a Chipotlane. These and other statements in the outlook section are described in the filing as forward-looking statements subject to the company's cautionary language under the Private Securities Litigation Reform Act of 1995.

What Was Disclosed

Chipotle disclosed Q3 2026 earnings showing 9.6% revenue growth to $3.3 billion alongside declining net income, compressed margins, higher labor and G&A costs, 84 new company-owned restaurant openings, and $110.0 million in share repurchases at an average of $34.05 per share.