Chipotle Just Had its Best Year in Five Years Thanks to This

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New CEO Brian Niccol can pat himself on the back as burrito restaurant chain Chipotle just posted its best year since 2013.

The stock has soared almost 50% in 2018. It’s the best performance Chipotle shares have seen since it saw a gain if 80% in 2013.

Niccol, who was the former CEO of Taco Bell, only joined the company last March and has upgraded the Chipotle’s mobile app as well as the company’s in-restaurant technology and internal software.

“It takes time to build a culture of accountability,” Niccol said last summer during an earnings call.

“We know that when the food is delicious, the feel of the restaurant is great and we remove the friction from the flow of the order processes, no matter the channel, we delight customers.”

The company has been making several strides to better business including starting to offer delivery via DoorDash in the second quarter and added delivery services through its own mobile app and website in the third quarter. The company is also testing drive-up windows for guests to pick up digital orders.

The company’s chief financial officer Jack Hartung also indicated during October’s earnings call, that the company is “in the early stages of talking to some outside parties about our menu compared to competition” and that “you’ll more likely see us take smaller price increases rather than wait two or three years or so and then take a larger one.”

Chipotle’s fourth quarter financial results are expected to be reported next month. Analysts are forecasting same-store sales growth of 4.2%.

Disclaimer: We have no position in Chipotle Mexican Grill, Inc. (NYSE: CMG) and have not been compensated for this article.

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