The Guzman y Gomez Ltd (ASX: GYG) share price is in focus today after the company reported record underlying earnings for FY26 and completed its exit from US operations. Network sales rose 17.9% to $1.38 billion, while underlying EBITDA surged 28.7% to $85.0 million.
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What did Guzman y Gomez report?
- Network sales jumped 17.9% year on year to $1,377.8 million
- Underlying EBITDA increased 28.7% to $85.0 million
- Statutory NPAT lifted 31.6% to $40.6 million; underlying NPAT up 29.7% to $53.4 million
- Opened 35 new restaurants during FY26, taking the total to 284 globally as at 30 June 2026
- Declared a fully franked full year dividend of 48.0 cents per share, including a special dividend
- Completed exit from US operations, with statutory group NPAT loss (inc. discontinued ops) of $(26.7) million
What else do investors need to know?
Guzman y Gomez maintained a strong balance sheet, finishing the year with $171 million in cash and no debt. The company deployed $100 million in share buybacks during the year and announced a further $100 million buyback.
Restaurant network expansion remains a key priority, with 117 Australian sites in the pipeline and plans to open 35 new Australian restaurants in FY27. Technology investment was highlighted, including deployment of AI tools to streamline kitchen operations.
GYG welcomed two new non-executive directors, George Wahby and Guy Fowler, whose appointments bring additional experience in scaling businesses. Their nominations are subject to shareholder approval later in 2026.
What did Guzman y Gomez management say?
Guzman Y Gomez' founder and co-CEO, Steven Marks, said:
This year marks the twentieth anniversary since we opened our first GYG restaurant in Newtown, Sydney. I am incredibly proud of the growth we have delivered in that time, the people who have delivered it and the strength of the operating platform we have built.
Our Australia Segment has reported network sales of $1.4 billion, up 17.9% on last year, demonstrating continued consumer demand for clean, fresh, made-to-order food, loaded with flavour and prepared at speed. This momentum has translated into strong earnings growth, with underlying EBITDA up 28.7%, highlighting the strong operating leverage embedded in our business.
What's next for Guzman y Gomez?
Looking ahead to FY27, Guzman y Gomez is targeting the opening of 35 new restaurants in Australia and expects underlying EBITDA margin as a percentage of network sales to expand to 6.7–6.9%. Early trading in FY27 is positive, with strong comp sales growth reported.
Over the medium term, GYG aims for continued network expansion, steady comp sales growth, margin improvement from drive-thru penetration, and ongoing investment in digital and operational efficiencies. The company continues to target underlying EBITDA margin of around 10% of network sales.
Guzman y Gomez share price snapshot
The Guzman Y Gomez share price has been among the worst performers on the S&P/ASX 200 index (ASX: XJO) over the past 12 months with a decline of almost 20%.
