Guzman y Gomez (GYG) H2 2025 earnings summary

Executive summary

• Achieved record FY2025 network sales of AUD 1.2 billion (or $1.18 billion), up 23% year-over-year, surpassing AUD 1 billion for the first time.

• Underlying group EBITDA rose 35% to AUD 52.8 million; NPAT increased 152% to AUD 14.5 million.

• Declared maiden fully-franked dividend of AUD 0.126 (12.6 cents) per share.

• Opened 32 new restaurants in Australia, with a robust pipeline of 98 approved sites and strong comp sales growth.

• Franchisee ROI reached 50%, with drive-through restaurant margins at 22%.

Financial highlights

• Revenue increased 27.4% to AUD 436 million year-over-year.

• Australian segment underlying EBITDA reached AUD 66 million, up 45% year-over-year.

• Comparable sales growth in Australia was 9.6%, with only 1.2% from price increases.

• Group cash conversion from earnings was 123%, aided by timing of payroll and receivables.

• Net assets rose to AUD 380.1 million, with no debt as of June 30, 2025.

Outlook and guidance

• Targeting 40 new restaurant openings per year in Australia, 85% drive-through, 60% franchised.

• Australian segment underlying EBITDA as a percentage of network sales expected to reach ~10% in five years.

• FY2026 guidance: 32 new Australian restaurants, segment underlying EBITDA margin of 5.9%-6.3%.

• U.S. losses expected to increase slightly in FY2026 due to investment in new stores and infrastructure.

• Board considering additional capital management opportunities in FY26.