Guzman y Gomez delivered double-digit sales growth in the third fiscal quarter amid rising customer base and demand for its Mexican-themed fast food.
The chain’s network sales for the quarter ended March 31 surged 19.5 per cent to $345.9 million, with sales up 19.7 per cent in Australia, 15 per cent in Asia, and 31 per cent in the US.
Management said the growth was driven by continued guest demand for the chain’s menu items and supported by operational efficiency at its restaurants.
On a comparable basis, sales grew 6.6 per cent for the Australia segment, reflecting what it described as the chain’s strong value proposition. The company noted that its strategic partnership with Uber Eats, which began in late February, has helped enhance the delivery experience and boost delivery sales.
In the US segment, comparable sales increased 2.2 per cent, with improved momentum partially offset by the cessation of DoorDash deliveries from early March.
Store count at the end of the quarter was 278, including 242 in Australia, 23 in Singapore, five in Japan and eight in the US.
The company’s outlook remains unchanged for the full year. Australia segment underlying EBITDA as a percentage of network sales is expected to expand to 6-6.2 per cent. The chain is on track to open 32 new restaurants in Australia this year, including 23 drive-thrus.
This article was first published on Inside Retail.
