Chipotle Mexican Grill Inc forecast second-quarter same-store sales above analysts’ estimates on Tuesday, betting demand for its burritos and rice bowls will remain buoyant despite a few rounds of price increases.
The burrito chain forecast comparable restaurant sales growth of 10 percent to 12 percent for the current quarter, compared with estimates of 8.8 percent growth, according to IBES data from Refinitiv.
The company’s shares rose nearly 5 percent in extended trading.
Chipotle, like rivals McDonald’s Corp and Starbucks Corp, has raised prices of its in-store and delivery menus in a bid to counter higher prices for everything from employee wages to beef, avocados, and paper.
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