Tortilla revenues increase 22% in H1

Tortilla revenues grew 22% to £32.7m during the 26 weeks ended 2 July, as cost pressures have eased and consumer confidence grew in the UK. 

However, while adjusted EBITDA reduced from £2.5m in H1 2022 to £1.8m in the current year, the fast-casual chain reports this is in-line with market expectations, noting that the prior year amount benefitted from £1.1m in government support. 

The group’s loss before tax also widened slightly from £300k in H1 2022 to £600k in the current year. 

During H1, the group successfully integrated the Chilango business after initially acquiring the brand last year, as well as implemented two major technology projects – its first kiosk-only site and a nationwide roll-out of delivery order aggregation software. 

As a result, the group is confident of being broadly in line with its targeted adjusted EBITDA for FY23, expecting to see the full-year benefit of the implementation of its initiatives next year. 

Tortilla is currently also assessing a number of European opportunities through franchising or strategic acquisitions. 

Richard Morris, CEO of Tortilla, said: “Despite the challenging economic backdrop, during the first half Tortilla demonstrated its resilience and showed consistent progress. 

“With our outstanding food offer, excellent value for money and great service, alongside our adaptable and resilient business model, we remain well placed to continue expanding our UK network whilst taking the brand into new markets, particularly in Europe.”