Investors hammered shares of Chipotle Mexican Grill (NYSE:CMG) after it posted earnings and revenue that missed quarterly forecasts.
For the third quarter, Chipotle said it earned $72.3 million, up 19.6% from $60.4 million in the same period last year. EPS came in a $2.27, which fell short of analysts’ forecasts of $2.29 a share, the Los Angeles Times noted.
The restaurant chain recorded quarterly revenue of $700.4 million, up 18.4% from 2011. But that narrowly missed the $704 million that Wall Street had anticipated.
Shares of Chipotle Mexican Grill plunged about 14% in Friday morning trading.
Company officials noted that rising food costs had raised the possibility of menu price increases in the coming year, though none were currently planned.
This isn’t the first time Chipotle investors haven’t been satisfied with higher earnings and revenue. In July, CMG shares plummeted 22% after the company announced second-quarter earnings that rose 61%, beating estimates, but missing revenue forecasts despite posting sales up 21% over the prior year.