Tortilla Mexican Grill PLC - London-based fast-casual restaurant chain - Confident 2023 results will be in line with market expectations of adjusted earnings before interest, tax, depreciation and amortisation of £5.0 million on revenue of £69.8 million. This is up from £4.0 million in adjusted Ebitda on £57.7 million in revenue in 2022. Revenue in the six months that ended July 2 was £32.7 million, up 22% from £26.9 million a year before, Tortilla says. Like-for-like revenue increased by 8.4% when adjusting for a value-added-tax benefit a year before, outpacing the wider market. However, this implies slower growth as the half-year progressed. Like-for-like sales growth on the same basis had been 11% in the eight weeks to February 26. Net debt on July 2 is £1.6 million, as expected.

Tortilla ended the recent half with 85 sites, up from 82 at the end of 2022. The first Tortilla restaurant in Northern Ireland is set to open this week in Belfast. Looking ahead, it says some easing in the cost inflation of food ingredients will support profitability in the second half of 2023.

Current stock price: 81.96 pence, up 0.6% in London on Monday

12-month change: down 33%

Copyright 2023 Alliance News Ltd. All Rights Reserved.