Chipotle (CMG) Stock Surges on Q2 Earnings, Revenue Beat

Chipotle (NYSE:CMG) posted its latest quarterly earnings results after the bell Thursday, which sent shares surging late in the day as the company’s earnings and revenue were ahead of the mark.

The Mexican burrito chain brought in net income of $46.8 million, or $1.68 per share, for its second quarter of fiscal 2018, which is below the $66.7 million, or $2.32 per share, that it brought in during the year-ago quarter. Adj

usted after considering an after-tax impact of $33.4 million linked in expenses due to asset impairment, restructuring plans and legal costs, the company brought in $2.87 per share.

Wall Street was calling for Chipotle to bring in adjusted earnings of $2.80 per share in its consensus estimate, according to data compiled from a Thomson Reuters survey. The fast-casual chain also brought in revenue of $1.27 billion for the period, slightly topping the $1.26 billion that analysts were calling for, per Thomson Reuters and increasing 8.3% year-over-year.

The company’s same-store sales were also ahead of the mark at a growth of 3.3% for the period, while StreetAccount was forecasting an increase of 2.7% in the metric. “I’m pleased to report a solid second quarter with sales and restaurant margins ahead of expectations,” Brian Niccol, Chipotle’s CEO, said in a statement.

“While we made progress during the quarter with particular strength in digital sales, I firmly believe we can accelerate that progress by executing our reorganization and our strategy to win today and cultivate tomorrow,” he added.

CMG stock was down about 1.1% during regular trading hours on Thursday in anticipation of its quarterly earnings report, which sent shares up nearly 6% after the bell.


Article printed from InvestorPlace Media, https://investorplace.com/2018/07/cmg-stock-chipotle-earnings-2/.

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