Challenging Summer for Office Lunch Chains: Cava, Chipotle, Sweetgreen See Sales Slowdown
America's favorite office lunch spots faced headwinds in Q2 as consumer demand softened. Cava's stock plunged 16% after reporting a stark slowdown in same-store sales growth to 2.1%—far below the expected 6%. The Mediterranean chain had previously enjoyed double-digit increases.
Chipotle's sales dropped 4%, accelerating from Q1's 2.3% decline, prompting a reduced full-year outlook. "Ongoing volatility in consumer trends" forced the burrito giant to recalibrate expectations. Sweetgreen fared worst with a 7.6% same-store sales crash.
"A macroeconomic fog has consumers less ebullient than last year," observed Cava CEO BRETT Schulman. The white-collar lunch bowl segment appears particularly vulnerable to shifting spending patterns as workplaces remain in flux.
