Chipotle Higher After Q2 Earnings Beat, Comps Up 10%

Chipotle Mexican Grill, Inc. CMG shares are surging after posting a second-quarter earnings and sales beat.

Adjusted earnings came in at $3.99, beating estimates by 22 cents. Sales came in at $1.434 billion, beating estimates by $24 million. The company raised 2019 comps growth from mid-to-high single-digit to high single-digit range.

"We're pleased with our financial performance, which marks the sixth consecutive quarter of accelerating comps and reflects continued progress on our key strategic initiatives," said CEO Brian Niccol. "These strong results were delivered despite a tougher year over year comparison and benefited from better restaurant operations, more effective marketing, and leveraging our digital make line to grow sales and expand access."

Highlights

• Revenue increased 13.2%
• Comp sales increased 10%
• Digital sales grew 99.1%
• Opened 20 new restaurants, closed one

Chipotle shares traded higher by 3.5% to $765.50 in Tuesday's after-hours session. The stock closed at $739.60.

Related Links:

'Trading Nation' Traders Talk Chipolte, McDonald's And Starbucks

Baird Makes Chipotle A 'Fresh Pick' After Chatting With Management

Photo credit: Chis Potter, Flickr