Chipotle Mexican Grill, Inc. (NYSE: CMG) reported stronger-than-expected results for its fourth quarter. The company also added $100 million to its buyback plan
The restaurant chain, based out of Newport Beach, Calif., reported revenue increased 10.4% to $1.2 billion. Comparable restaurant sales increased 6.1%, which included 2.0% of comparable restaurant transactions growth. What’s more, digital sales grew 65.6% and accounted for 12.9% of sales.
Diluted earnings per share were $1.15, a 25.8% decrease from $1.55. Adjusted diluted earnings per share was $1.72, excluding the impact of restaurant closure costs, corporate restructuring, and certain other costs, a 11.0% increase from $1.55.
Net income for the fourth quarter of 2018 was $32.0 million, or $1.15 per diluted share, compared to net income of $43.8 million, or $1.55 per diluted share, in the fourth quarter of 2017.
Excluding the impact of restaurant closure costs, corporate restructuring, and certain other costs, adjusted net income was $48.1 million and adjusted diluted earnings per share was $1.72.
The company also opened 40 new restaurants during the quarter and closed or relocated 12, bringing the total restaurant count to 2,491.
CEO Brian Niccol said, "I'm very pleased to report strong fourth quarter results with 6.1% comparable restaurant sales growth that included 2% transaction growth. For the full year, Chipotle's average unit volumes exceeded $2 million with digital sales surpassing half a billion dollars.
"When we connect with guests through great operations, relevant marketing focused on Chipotle's great taste and real ingredients, and provide more convenient access, they respond enthusiastically."
Shares in CMG were positively "cooking" at Thursday’s opening bell, leaping $53.93, or 10.3%, to $579.99
