Chipotle's sales jump 18%, shares rally.

Chipotle (CMG) beat on both top and bottom lines for the first-quarter. The Mexican fast food chain reported EPS of $1.60 on revenue of $1.07B topping Wall Street expectations for EPS of $1.27 on revenue of $1.05 billion. Shares jumped 5.5% following the news.

Comparable restaurant sales were in focus, which rose 17.8% versus analysts’ forecast of 15.5% growth. Sales grew for the first time since its food crisis in 2015.

Chipotle’s brand and performance seem to finally be on the rebound. The company has been recovering from E. Coli outbreaks that infected 60 people across 14 states, despite the CDC declaring that the outbreaks were over a year ago. The company has since made significant changes to its food safety procedures.

Last quarter, the company emphasized the three categories it would be honing in on — improving restaurant operations, rebuilding its brand through creative marketing and ads, and doubling down on its digital sales efforts.



By Melody Hahm.
Full story at Yahoo News.