Tortilla Mexican Grill (MEX) H2 2025 earnings summary

Executive summary

• Achieved 8.8% revenue growth to £74.0m for FY25, driven by UK sales and full-year France contribution.

• UK business returned to in-store volume growth in H2 2025, with strong LFL momentum continuing into 2026.

• France underperformed, with losses from non-converted Fresh Burritos sites; strategic reset underway to focus on profitable conversions.

• Significant Board and leadership changes, including founder's return as CEO and new Chair and CFO appointments.

• Strengthened financial controls and governance, especially in France, following accounting issues.

Financial highlights

• Revenue: £74.0m (+8.8% YoY); System sales: £98.3m (+9.2% YoY).

• Adjusted EBITDA (pre-IFRS 16): £1.1m (down from £4.5m in FY24); UK Adjusted EBITDA: £6.3m (+21.2% YoY); France: £(5.2)m.

• Net loss after tax: £(15.1)m (vs £(3.3)m in FY24), driven by impairments and France trading losses.

• Gross profit margin: 75.2% (down 1.4 pts YoY) due to food cost inflation, delivery discounting, and France inefficiencies.

• Cash generated from operations: £7.4m; Adjusted net debt (pre-IFRS 16): £(10.8)m.

Outlook and guidance

• UK LFL sales up 13.9% in H1 2026, with strong in-store and delivery growth.

• Focus on sustainable UK growth, reducing France losses, and disciplined capital deployment.

• No dividend recommended for FY25; capital prioritised for strategic initiatives and balance sheet strengthening.

• Board expects to operate within revised banking covenants and maintain adequate liquidity.