Guzman y Gomez, the Mexican‑themed quick‑service restaurant chain, announced a significant profit increase for the fiscal year ending June 30. Net profit after tax rose to A$53.4 million, up from A$41.2 million a year earlier, reflecting a roughly 30% gain.
Australian market fuels growth
Sales in the Australia segment – which also includes Singapore and Japan – climbed 17.9% to A$1.4 billion (about $997 million). The region now represents the company’s primary growth engine after the chain exited the United States in May due to weak sales.
Comparable sales in the segment grew 5.3% year‑over‑year, matching analysts’ expectations of 5.24% but falling short of the 9.6% growth recorded the prior year. Citi highlighted that the expansion came from higher volume rather than price increases, noting the quality of the growth compared with other quick‑service peers.
Dividends and share performance
Guzman y Gomez declared a final dividend of 40.6 Australian cents per share, including a special dividend of 14.4 cents, well above the consensus forecast of 7 cents. The company’s shares rose as much as 12.6% to A$27.00, their highest level since October 31, 2025, even as the broader S&P/ASX 200 index slipped 0.2%.
The firm also reported a loss attributable to discontinued U.S. operations, recording an after‑tax loss of A$26.7 million after a profit of A$14.5 million the previous year, due to a A$67.3 million loss from the U.S. segment.
Outlook
With the Australian network delivering solid volume growth, Guzman y Gomez expects the region to continue driving earnings, while the company evaluates future opportunities outside the United States.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.