Guzman y Gomez Ltd Reports Record Financial Performance
Mexican fast-food chain Guzman y Gomez Ltd (ASX: GYG) has delivered a remarkable financial performance for the fiscal year 2025, surpassing expectations and achieving significant milestones. The company reported its first-ever annual profit that exceeded estimates, alongside hitting a landmark $1 billion in network sales for the first time.
For the year ended June 30, 2025, Guzman y Gomez’s global network sales rose by 23% to $1.18 billion. This growth was driven by strong customer demand for its fresh, made-to-order Mexican-inspired food and an expanding restaurant footprint. The company’s earnings also saw a substantial increase, with EBITDA rising 45.5% to $65 million on a pro forma basis. Net profit after tax surged by 151.8% to $14.5 million.
Guzman y Gomez ended the fiscal year with a robust financial position, holding $282 million in cash and maintaining a debt-free status. The company declared its maiden fully-franked dividend of 12.6 cents per share, marking a significant milestone in its financial journey.
The company’s expansion strategy continued to bear fruit, with 39 new restaurants opened during the year. This included 32 in Australia, four in Singapore, one in Japan, and two in the United States, bringing its global network to 256 outlets. In Australia, the company achieved sales of over $1 billion for the first time, supported by strong same-store growth of 9.6% and the rollout of more 24/7 restaurants. Additionally, Guzman y Gomez has 98 new Australian restaurants in its pipeline.
In the United States, the company experienced accelerated sales momentum, with fourth-quarter network sales rising by 57.3%. This growth was supported by operational improvements and new restaurant openings in Chicago.
Co-CEOs of Guzman y Gomez described FY25 as an “exceptional year” that reinforced the company’s mission to reinvent fast food. The company’s strong financial performance and strategic expansion efforts position it well for continued growth in the future.
Despite these positive developments, Guzman y Gomez’s stock price remains volatile, with a close price of 28.97 AUD on August 19, 2025, and a 52-week low of 26.53 AUD on July 29, 2025. The company’s market capitalization stands at 2.83 billion AUD, and it has a price-to-earnings ratio of -1039.096, reflecting its recent profitability turnaround.
Overall, Guzman y Gomez’s record financial results and strategic growth initiatives highlight its successful transformation and potential for sustained success in the competitive quick-service restaurant sector.