Chipotle Mexican Grill Inc (CMG)

Operating profit margin

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Operating income (ttm)	US$ in thousands	1,916,333	1,864,048	1,785,742	1,631,499	1,557,813	1,490,697	1,432,000	1,337,788	1,160,403	1,022,368	925,795	833,722	804,943	763,533	630,949	380,485	290,164	271,434	279,959	404,918
Revenue (ttm)	US$ in thousands	11,313,860	10,984,870	10,663,240	10,204,920	9,871,650	9,535,930	9,284,160	8,982,700	8,634,660	8,414,690	8,146,830	7,826,030	7,547,070	7,194,150	6,843,240	6,315,440	5,984,630	5,817,140	5,619,430	5,688,920
Operating profit margin		16.94%	16.97%	16.75%	15.99%	15.78%	15.63%	15.42%	14.89%	13.44%	12.15%	11.36%	10.65%	10.67%	10.61%	9.22%	6.02%	4.85%	4.67%	4.98%	7.12%

December 31, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $1,916,333K ÷ $11,313,860K
= 16.94%

Chipotle Mexican Grill Inc has shown a steady improvement in its operating profit margin over the years, reflecting the company's ability to manage its operating expenses efficiently and generate higher profits from its core operations. The operating profit margin, which is a key indicator of profitability, has exhibited an upward trend from 7.12% in March 2020 to 16.94% in December 2024. This consistent growth in operating profit margin indicates that Chipotle has been successful in increasing its operational efficiency and controlling costs, leading to higher profitability levels.

The improvement in operating profit margin can be attributed to various factors such as effective cost management strategies, menu innovations, pricing strategies, and operational improvements. Chipotle's focus on enhancing customer experience, streamlining operations, and leveraging technology to drive efficiencies has likely contributed to the positive trend in its operating profit margin. Additionally, the company's initiatives to drive sales growth and expand its customer base may have also played a role in boosting profitability.

Overall, the increasing trend in Chipotle's operating profit margin demonstrates the company's ability to effectively manage its operating expenses relative to its revenue, leading to a stronger bottom line performance. This positive trajectory in operating profit margin reflects favorably on Chipotle's operational performance and financial health, showcasing its competitive position in the fast-casual dining industry.