Tortilla has reported group revenue of £57.7m for the financial year ended 1 January 2023 (FY22), an increase of 20% from £48.1m in FY21, driven by a net increase of 18 sites during the year.
The total number of sites is currently 82, with Durham and Canterbury among the most recent openings.
In its Q4 trading update, the fast casual Mexican chain reported Q4 lfl revenue growth was 16.4% up vs FY19, despite challenging trading conditions due to rail strikes and poor weather. The resilient performance was attributed to the strength of the proposition and continued expansion in line with the long-term growth strategy.
“Some favourable changes in input costs, together with actions taken by management and the strong trade in the majority of the fourth quarter give the Board confidence that FY22 revenue and profit will be in line with market expectations.”
The group has several sites in the pipeline for 2023, including Derby and Greenwich this spring. The pipeline also includes the expansion of its existing franchise relationship with the Compass Group within the higher education sector, with five sites now open.
Openings are also planned at rail stations in partnership with the SSP Group.
Tortilla reports its strong cash position will enable the group to self-fund its rollout.
The brand further reported its acquisition of Chilango in May 2022 strengthened the group’s market position in London with a complementary premium brand, while adding eight stores to its estate, five of which were rebranded to Tortilla. The remaining three continue to trade under Chilango.
Over the year, Tortilla also expanded its delivery reach to include Uber Eats, Just Eat, and Deliveroo, as well as expanding with delivery kitchen partners Growth Kitchen and Karma Kitchen. Delivery demand has remained stable and grown the reach of the brand, according to the update.
CEO Richard Morris commented: “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.
“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.
“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.”
