According to an article on MarketWatch, Chipotle Mexican Grill Inc. sales plummeted another 23%, which led to the company’s first loss as a public company. Chipotle offered its IPO in January 2006 and was profitable until last year, when a number of health outbreaks at its restaurants around the country sent its profits into a tailspin.
Steve Ells, Co-CEO of Chipotle, continues to try to put a positive spin on the numbers. In the article, he said, "As our sales are on a gradual path to recovery, we remain focused on our mission of changing the way people think about and eat fast food. The best approach to re-building our business is to proudly serve safe and delicious food...which is exactly what we will continue to do."
Smart Analyst explains the company posted a net loss of $26.4 million, compared to a net income of $122.6 million in the same quarter in 2015. Chipotle lost credibility with farmers when its marketing campaign positioned all other food sources except its own as a suspect in terms of antibiotic use and safety. Read the entire article here.
