Using the Balance Sheet, How much excess cash and financial assets do you believe Chipotle is holding on 12/31/2019? Please list the amount and for excess cash, your reasoning.

Using the Statement of Cash Flows, Over the past 3 years, has Chipotle generate more cash in operations that it earned in net income? If so, how much?

How did it generate this cash from operations?

What did they used this cash for?

O

CHIPOTLE MEXICAN GRILL, INC. CONSOLIDATED BALANCE SHEETS (in thousands, except per share data) December 31, 2019 2018 $ 249,953 62,312 21,555 54,129 480.626 $ 80,545 26,096 57,076 27,705 400, 156 1,072,204 1,458,690 27,855 2,505,466 18.450 21,939 5,104,604 $ 426,845 814,794 1,379,254 30,199 19,332 21,939 2,265,518 $ $ $ Assets Current assets: Cash and cash equivalents Accounts receivable, net Inventory Prepaid expenses and other current assets Income tax receivable Investments Total current assets Leasehold improvements, property and equipment, net Restricted cash Operating lease assets Other assets Goodwill Total assets Liabilities and shareholders' equity Current liabilities: Accounts payable Accrued payroll and benefits Accrued liabilities Unearned revenue Current operating lease liabilities Income tax payable Total current liabilities Commitments and contingencies (Note 13) Deferred rent Long-term operating lease liabilities Deferred income tax liabilities Other liabilities Total liabilities Shareholders' equity: Preferred stock, $0.01 par value, 600,000 shares authorized, no shares issued as of December 31, 2019 and 2018, respectively Common stock, $0.01 par value, 230,000 shares authorized, 36,323 and 35,973 shares issued as of December 31, 2019 and 2018, respectively Additional paid-in capital Treasury stock, at cost, 8,568 and 8,276 common shares as of December 31, 2019 and 2018, respectively Accumulated other comprehensive loss Retained earnings Total shareholders' equity Total liabilities and shareholders' equity 115,816 126,600 155,843 95,195 173,139 113,071 113,467 147,849 70,474 666,593 5,129 449,990 330,985 2,678,374 37,814 38,797 3,421,578 11,566 31,638 824,179 363 1,465,697 (2,699,119) (5,363) 2,921,448 1,683,026 5,104,604 360 1,374,154 (2,500,556) (6,236) 2,573,617 1,441,339 2,265,518 CHIPOTLE MEXICAN GRILL, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands) Year ended December 31, 2018 2019 2017 $ 350,158 $ 176,553 $ 176,253 201,979 163,348 212,778 163,952 29,962 15,402 33 91,396 (10,592) 10,585 61,987 125 69,164 (2,918) (18,026) 13,345 214 65,255 (218) (2,630) (4,530) (23,066) 2,818 (973) 11,759 36,543 30,400 (32,083) (8,298) (1,722) (3,811) (2,005) 32,080 29,568 14,831 6,829 14,439 21,297 (140) (5,250) (6,710) (1,476) 10,908 6,188 28,179 4,207 (4,173) 29,996 Operating activities Net income Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization Amortization of operating lease assets Deferred income tax (benefit) provision Impairment, closure costs, and asset disposals Bad debt allowance Stock-based compensation expense Other Changes in operating assets and liabilities: Accounts receivable Inventory Prepaid expenses and other current assets Other assets Accounts payable Accrued payroll and benefits Accrued liabilities Unearned revenue Income tax payable/receivable Deferred rent Operating lease liabilities Other long-term liabilities Net cash provided by operating activities Investing activities Purchases of leasehold improvements, property and equipment Purchases of investments Maturities of investments Proceeds from sale of equipment Net cash used in investing activities Financing activities Acquisition of treasury stock Tax withholding on stock-based compensation awards Stock plan transactions and other financing activities Net cash used in financing activities Effect of exchange rate changes on cash, cash equivalents and restricted cash Net change in cash, cash equivalents, and restricted cash Cash, cash equivalents, and restricted cash at beginning of period Cash, cash equivalents, and restricted cash at end of period Supplemental disclosures of cash flow information Income taxes paid Purchases of leasehold improvements, property, and equipment accrued in accounts payable and accrued liabilities Acquisition of treasury stock accrued in accounts payable and accrued liabilities (151,557) 1,862 721,632 869 621,552 6,316 468,216 (333,912) (448,754) 476,723 13,969 (291,974) (287,390) (485,188) 385,000 (216,777) (199,801) 330,000 (387,578) (86,578) (190,617) (10,420) (698) (201,735 406 228,329 280,152 508,481 (160,937) (5,411) (187) (166,535) (1,457) 65,982 214,170 280,152 (285,218) (702) 26 (285,894) 2,056 97,800 116,370 214,170 $ $ $ 109,571 $ 67,053 $ 119,787 $ $ 36,886 $ $ 30,870 2,474 $ $ 31.806 2,274 CHIPOTLE MEXICAN GRILL, INC. CONSOLIDATED BALANCE SHEETS (in thousands, except per share data) December 31, 2019 2018 $ 249,953 62,312 21,555 54,129 480.626 $ 80,545 26,096 57,076 27,705 400, 156 1,072,204 1,458,690 27,855 2,505,466 18.450 21,939 5,104,604 $ 426,845 814,794 1,379,254 30,199 19,332 21,939 2,265,518 $ $ $ Assets Current assets: Cash and cash equivalents Accounts receivable, net Inventory Prepaid expenses and other current assets Income tax receivable Investments Total current assets Leasehold improvements, property and equipment, net Restricted cash Operating lease assets Other assets Goodwill Total assets Liabilities and shareholders' equity Current liabilities: Accounts payable Accrued payroll and benefits Accrued liabilities Unearned revenue Current operating lease liabilities Income tax payable Total current liabilities Commitments and contingencies (Note 13) Deferred rent Long-term operating lease liabilities Deferred income tax liabilities Other liabilities Total liabilities Shareholders' equity: Preferred stock, $0.01 par value, 600,000 shares authorized, no shares issued as of December 31, 2019 and 2018, respectively Common stock, $0.01 par value, 230,000 shares authorized, 36,323 and 35,973 shares issued as of December 31, 2019 and 2018, respectively Additional paid-in capital Treasury stock, at cost, 8,568 and 8,276 common shares as of December 31, 2019 and 2018, respectively Accumulated other comprehensive loss Retained earnings Total shareholders' equity Total liabilities and shareholders' equity 115,816 126,600 155,843 95,195 173,139 113,071 113,467 147,849 70,474 666,593 5,129 449,990 330,985 2,678,374 37,814 38,797 3,421,578 11,566 31,638 824,179 363 1,465,697 (2,699,119) (5,363) 2,921,448 1,683,026 5,104,604 360 1,374,154 (2,500,556) (6,236) 2,573,617 1,441,339 2,265,518 CHIPOTLE MEXICAN GRILL, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands) Year ended December 31, 2018 2019 2017 $ 350,158 $ 176,553 $ 176,253 201,979 163,348 212,778 163,952 29,962 15,402 33 91,396 (10,592) 10,585 61,987 125 69,164 (2,918) (18,026) 13,345 214 65,255 (218) (2,630) (4,530) (23,066) 2,818 (973) 11,759 36,543 30,400 (32,083) (8,298) (1,722) (3,811) (2,005) 32,080 29,568 14,831 6,829 14,439 21,297 (140) (5,250) (6,710) (1,476) 10,908 6,188 28,179 4,207 (4,173) 29,996 Operating activities Net income Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization Amortization of operating lease assets Deferred income tax (benefit) provision Impairment, closure costs, and asset disposals Bad debt allowance Stock-based compensation expense Other Changes in operating assets and liabilities: Accounts receivable Inventory Prepaid expenses and other current assets Other assets Accounts payable Accrued payroll and benefits Accrued liabilities Unearned revenue Income tax payable/receivable Deferred rent Operating lease liabilities Other long-term liabilities Net cash provided by operating activities Investing activities Purchases of leasehold improvements, property and equipment Purchases of investments Maturities of investments Proceeds from sale of equipment Net cash used in investing activities Financing activities Acquisition of treasury stock Tax withholding on stock-based compensation awards Stock plan transactions and other financing activities Net cash used in financing activities Effect of exchange rate changes on cash, cash equivalents and restricted cash Net change in cash, cash equivalents, and restricted cash Cash, cash equivalents, and restricted cash at beginning of period Cash, cash equivalents, and restricted cash at end of period Supplemental disclosures of cash flow information Income taxes paid Purchases of leasehold improvements, property, and equipment accrued in accounts payable and accrued liabilities Acquisition of treasury stock accrued in accounts payable and accrued liabilities (151,557) 1,862 721,632 869 621,552 6,316 468,216 (333,912) (448,754) 476,723 13,969 (291,974) (287,390) (485,188) 385,000 (216,777) (199,801) 330,000 (387,578) (86,578) (190,617) (10,420) (698) (201,735 406 228,329 280,152 508,481 (160,937) (5,411) (187) (166,535) (1,457) 65,982 214,170 280,152 (285,218) (702) 26 (285,894) 2,056 97,800 116,370 214,170 $ $ $ 109,571 $ 67,053 $ 119,787 $ $ 36,886 $ $ 30,870 2,474 $ $ 31.806 2,274