Will Chipotle's New Restaurant Design Power Its Next Growth Phase?
Chipotle Mexican Grill (NYSE: CMG) has grown steadily over the years with a total of 2,546 stores at the end of September 2019. The burrito and taco specialist dishes up delicious meals in its casual dining outlets located all over the U.S. Its financial results have also been tasty with a 14% year-over-year increase in revenue for the first nine months of 2019. Operating income surged 58% year over year, while net income soared 92% as well.
Chipotle, in its most recent earnings call, also reported its seventh consecutive quarter of accelerating comparable sales. Restaurant margins are also doing much better at 20.8%, up 210 basis points from the same period last year. The numbers and operating statistics point to a solid performance for the company, and Chipotle is on track to deliver on its five key strategies: making the brand more visible, running successful restaurants with great food, leveraging digital lines to grow sales, engaging customers with a new loyalty program, and creating a stage-gate process for innovations. These attributes have made Chipotle a great food stock to own over the last 10 years, as its share price has risen tenfold since mid-2009.
The company recently announced a new restaurant design to better support its burgeoning digital sales. Will this help to further boost digital and overall growth for Chipotle?
Source Fool.com
