Chipotle's 3Q profit rises on stronger sales as it draws more burrito fans
NEW YORK, N.Y. - Chipotle keeps attracting more customers with its burritos, bowls and carefully-honed image as an anti-fast food option.
The Denver-based company on Thursday said its profit surged 15 per cent in the third quarter as higher traffic drove up a key sales figure. It issued a rosier sales outlook for the remainder of the year and said a national price hike was planned for 2014, which would be its first in three years.
In a conference call with analysts, Chief Financial Officer Jack Hartung said the increase would probably be in the "mid-single digit range."
"Whether that's 3 per cent, 4 per cent or 5 per cent will depend on what happens with general ingredient inflation," he said.
Chipotle, which has more than 1,500 locations, has surged in popularity because customers see it as being a step up from traditional fast-food chains such as Burger King and Wendy's. People also like that they can customize their orders, dictating which ingredients they want as they go down a line.