Scott Boatwright. — Bloomberg
LOS ANGELES: Chipotle Mexican Grill Inc has announced Scott Boatwright as its permanent chief executive officer (CEO), effective immediately.
Boatwright had been serving as interim CEO since August, when Brian Niccol vacated the role to become CEO of Starbucks Corp.
Boatwright, 52, was previously chief operating officer and chief restaurant officer at Chipotle, which he joined from Arby’s in 2017. The burrito chain said its board made the decision “after a robust and thorough process”.
Chipotle shares were little changed in New York trading. The stock has advanced 28% this year, slightly surpassing the gain of the S&P 500 Index.
Boatwright was “the most logical candidate” to lead the company given he “has been an instrumental leader in driving improved unit-level execution” since arriving at the company, according to a research note from Baird analyst David Tarantino.
Boatwright, along with Niccol, has helped to improve the efficiency and service times at Chipotle locations. The company has added separate burrito assembly lines for online orders to prevent restaurants from being overwhelmed.
“We also believe the appointment of Boatwright as CEO, as opposed to an external hire, will help to keep the existing leadership team intact, an outcome that we think is very important as we contemplate the fundamental setup going forward,” Tarantino wrote. — Bloomberg
