Chipotle Mexican Grill Research Paper

662 Words3 Pages
IPO Project –Chipotle Mexican Grill, About company Chipotle Mexican Grill, Inc. and its subsidiaries has operated 1,084 restaurants in the United States, two in Toronto, Canada and one in London, England till December 31, 2010.Over the past five years, company has experienced grown up greatly and substantially, and expect to their big rally of 2011, new openings between 135 and 145 restaurants are expected to operate in 2011. Chipotle is working to change the way people think about and eat fast food by looking to fine-dining restaurants for inspiration. Chipotle use high quality ingredients, classic cooking methods to make good tasting food, have top performing people to take care of each customer, and make restaurants operationally…show more content…
Competition also exists in the fast-casual restaurant segment, primarily on taste, quality and the freshness of the menu items and the ambience and condition of each restaurant. And what is the performance of Chipotle and fast-casual segment in the whole industry? According to the recently released Technomic report of the top 500 largest U.S. restaurant chains, fast casual concepts hold seven out of the top 10 positions, with Five Guys leading the way. In total, the top 10 fastest-growing chains' sales accounted for $7.8 billion, an 18 percent increase over…show more content…
Following are the ratios of 4 years before and after IPO, which will show us how the net proceeds from IPO benefit company. | |2002 |2003 | We could see all the indicators up steadily since 2006 (IPO)till 2009.The significant factors contributing to the increases in sales were new restaurant openings and comparable restaurant sales increases, due to focus on customers, and an increase in the number of transactions. Both of two mainly reasons, new opening and comparable restaurant sales are financially support by net proceeds from IPO. ‘We believe that cash from operations, together with the net proceeds from the initial public offering will be enough to meet ongoing capital expenditures, working capital requirements and other cash needs over at least the next 24 months.’ ------from management Company stock price trend after IPO Following is the price monthly since Jan 25, 2006, a successful IPO, we could see the price up and up sharply, which maximums the interest of shareholders.

More about Chipotle Mexican Grill Research Paper

Open Document