Chipotle Franchise

Chipotle Revenue: An Explosion In The Making!

Chipotle is a very popular restaurant chain in the United States. Starting in a small way, it then developed into 28 restaurants and nearly 481 company owned franchise outlets. As per the company, there was an increase of 36 percent in Chipotle revenue during the previous year, which comes nearly 173.3 million dollars. The Chipotle revenue results in an amazing profit of 4.3 million dollars. For this profit, it faces a net loss of nearly 3.7 million dollars. The credited revenue of the company reveals the growth of 14.3 percent while compared to the sales of the other restaurants in America. During the year 2005, Chipotle experienced a steep revenue increase of 33.3 percent which comes around 627 million dollars.

Chipotle had strategically planned to open nearly 80 to 92 restaurants in the year 2005. During the same year, Chipotle's net income was 37.7 million dollars which has been increased from 6.1 million dollars the previous year. As per Chipotle's expectation, they opened nearly 80 restaurants in the year 2005. Compared to the Chipotle revenue in first quarter of the year 2007 to the 1st quarter of the year 2006, there was an increase of 26.2 percent which covers to nearly 236.1 million dollars. There was an increase of 8.3 percent in the sales compared to the other restaurants. The Chipotle restaurant sales were 19.7 percent in the year 2006. The operating margins of Chipotle restaurants are 50 basis points, which come around 20.7 percent. During 2006, the chipotle revenue saw 46.2 percent increase in the net income which shows 12.4 million dollars. The shared earnings of the Chipotle restaurant outlets are 0.38 dollar per share while comparing to 0.26 dollar per share in the previous year. This also shows that nearly 46.2 percent increase in the earnings per share.

The Chipotle Revenue for the 1st quarter of the year 2007 showed an increase of 26.2 percent which amounted from 187.1 million dollars in the year 2006 to 236.2 million dollars in the year 2007. This sudden growth in Chipotle revenue was futuristic to the new restaurants but not on a relative basis. This increase in the Chipotle restaurant revenue was mainly due to more customers pouring into each outlet. The Chipotle restaurant has also opened nearly 28 company-owned restaurants during the year 2007.

Due to the mind-blowing average revenue in the restaurant, the operating margins of the restaurant level reaches to 24 percent in the 1st quarter of 2007. This Chipotle revenue could have also gone up due to a price increases in the menu cards. During the year 2007, the general expenses were 17 million dollars and for about 7.2 percentage of the Chipotle revenue while comparing to the 1st quarter of the year 2006 which comes around 15.3 million dollars or say 8.2 percent of the administrative expenses. Among these revenues and incomes, the 1st quarter has been benefited from non-cash stockpile compensation expenses associated to the 2007 grants. The Chipotle revenue from these operations saw an increase in the first quarter during 2007 which is 18.6 million dollars while compared to 12.7 million dollars in the 1st quarter of 2006.