Yahoo Finance Deliveries drive sales boom at burrito chain Tortilla
Mexican chain Tortilla has reported a surge in sales as it was boosted by strong delivery sales during lockdown periods.
Shares in the burrito business lifted on Monday morning after it confirmed that both revenues and earnings are set to have beaten guidance for the past year in its maiden update since floating on the stock market in October.
It told shareholders that revenues rocketed by 79% to £48.1 million for the year to January 2, despite lockdown measures throughout the first quarter.
Like-for-like sales were also 23.8% higher than in 2019, the company said.
The business was boosted by the opening of seven company-operated restaurants and two franchise sites during the year, taking the brand to 64 locations.
The group also now operates five delivery kitchens and reported that deliveries have grown to represent around 30% of all sales.
It added that trading in recent weeks has been “very positive” despite the spread of the Omicron variant and impact of high street footfall.
Richard Morris, chief executive officer of Tortilla, said: “We are delighted to have maintained the very strong trading momentum, outlined at the time of our IPO, to achieve an excellent full-year performance.
“This was supported by the growing appeal of our proposition and the continued expansion of the Tortilla brand.
“Once again, the adaptability of Tortilla’s offer supported us through the latter stages of the year to achieve a strong performance across both delivery and take away.”
The boss also said he was pleased with the progress the company made with its growth strategy, which included opening more delivery kitchens and traditional restaurant sites.
Tortilla said it is confident it can meet plans to open 45 new sites over the next five years.
Shares in the company moved 3.9% higher to 190.7p in early trading.
