Strong end to the year helps Tortilla remain 'highly resilient'
The fast-casual Mexican restaurant group saw revenue rise from £48.1m to £57.7m for the financial year ended 1 January 2023 compared with the previous year, with like-for-like revenue rising 16.4% against 2019, driven by a net increase of 18 sites during the year.
In its Q4 trading update, Tortilla says it had a resilient year despite challenging trading conditions due to rail strikes and poor weather. It described 2022 as ‘a year of significant growth and strategic progress’ with new sites opening at ‘an ambitious but disciplined rate’.
It says that its acquisition of Chilango in May 2022 strengthened its market position in London.
“We have a proven and highly popular customer proposition. During difficult economic times, restaurants that offer great, consistent food at competitive price points will be the winners, and we sit comfortably in this space,” says CEO Richard Morris.
“We continued to achieve excellent strategic progress during 2022, in line with our long-term growth strategy. We have successfully opened a number of new sites across the UK – including Durham, Coventry, Canterbury and Leicester – showing the excellent demographic diversity in which the brand can operate.
“This is further testament to the nationwide popularity and appeal of our brand. We have also strengthened our market position in London through our strategic acquisition of Chilango.
The group says it has several sites in the pipeline for 2023, including the opening of venues in Derby and Greenwich this spring, and intends to open several new franchise sites. It will continue the expansion of its existing partnership with Compass Group, and open further venues at rail stations in partnership with SSP Group.
“Looking ahead, we remain as motivated and enthusiastic as ever about Tortilla’s significant organic growth opportunities in the UK, with the added excitement of growing our already successful franchise partnerships both in the UK and abroad,” adds Morris.
