NEW YORK (TheStreet) --GrubHub (GRUB) - Get Report reported 2016 second quarter earnings that came in above analysts' expectations on Thursday. The restaurant pick-up delivery service posted earnings of 23 cents per share, topping expectations of 19 cents and revenue of $120.2 million, above the projected $114.18 million.

GrubHub CEO Matt Maloney joined CNBC's "Squawk Box" Friday morning to breakdown the report and explain what has made the company so successful.

"We just posted our best quarter for the year with seasonal headwinds and increasing competition. We've been make the right investments over the past two years, rebuilding our technical foundation, and it's really yielding tangible results," Maloney said.

GrubHub posted a 37% year-over-year revenue growth, as the company is "delivering for hundreds, if not thousands of restaurants across the country," Maloney noted.

Maloney credits growth to five essential components. Continued product development, enhancing the overall quality of the product, presenting the right features to the precise audience at the proper time and an increase in efficient marketing. All combining to deliver the impressive Q2 results. 

"I think, it was getting more people to be aware that they can order online from their favorite restaurants. Its capturing eyeballs and transitioning those to orders. And the fact that we can come into communities across the country and say let us do that (delivery) for you," he explained.

Maloney concluded by addressing concerns about increased competition within the business and promptly laid those to rest.

"We have 44,000 restaurants across the country nobody can compete with that for the next five years. We support it all with our incredible customer service. We have no material deals. We are very confident in our ability to compete and win in the current ecosystem," he said.

Shares of GrubHub are lower by 4.12% to $36.58 in pre-market trading Friday morning. 

Separately, TheStreet Ratings rates GrubHub as a "Hold" with a ratings score of C." The primary factors that have impacted TheStreet Ratings rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks.

The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. However, as a counter to these strengths, TheStreet Ratings also finds weaknesses including a generally disappointing performance in the stock itself, unimpressive growth in net income and weak operating cash flow.

TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. 

You can view the full analysis from the report here: GRUB

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