Chipotle Mexican Grill, the popular fast-casual dining chain, has reported disappointing quarterly earnings results. According to reports, the company missed estimates on revenue, earnings, and same-store sales.
Chipotle reported a net income of $64.9 million, or $2.11 per share, in the fourth quarter of 2021, missing analysts’ estimates of $2.34 per share. Revenue was also lower than expected, coming in at $1.53 billion, compared to the $1.56 billion that analysts had predicted.
Same-store sales, a key metric for restaurant companies, also failed to meet expectations, rising by only 4.4% compared to the 6.4% that analysts had forecast.
Chipotle CEO Brian Niccol said in a statement that the company was disappointed with the results, but that they were “confident in our ability to continue to drive strong sales and traffic growth in the coming year.”
The earnings miss comes as Chipotle has been struggling to keep up with the competition in the fast-casual dining space. Rivals such as Panera Bread and Shake Shack have seen their same-store sales rise by double-digits, while Chipotle has been unable to keep pace.
Chipotle shares have dropped nearly 3% in after-hours trading following the earnings announcement. Investors will be watching closely to see if the company can turn things around in the coming year.