GYG down -20% as NPAT underwhelms; divvy not sweet enough, stock breaking even
In a “Letter from the Co-CEOs” released by Guzman Y Gomez (ASX:GYG) along with its FY25 reports on Friday morning, one which reads painfully like a LinkedIn-influencer post, the company chiefs told investors the trillion-dollar global fast food industry is ready for disruption.
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The company, perhaps, mightn’t have expected itself to be disrupted. Guzman shares were down -20.5% to $23.19/sh heading into the second hour of Friday trade as the company’s FY25 results failed to excite.
Despite an American expansion (into a heavily saturated Latin America-themed fast food market) and fairly bold claims of being able to execute Australian fast food dominance, the first yearly report we’ve seen from GYG reflects NPAT of $14 million.
But seeing as the company lost $13.6M in FY2024, that really means it just broke even.
Earnings before taxes were around the mid $60M mark, and the company even issued a dividend of around 12c. But that hasn’t been enough to save a sell-off on Friday, which has brought the stock to an all-time low.
“When we opened our first restaurant in the Sydney suburb of Newtown in 2006, it was doing $11k a week in sales. We were losing money. Most would have called it quits. We didn’t,” the letter from the co-CEOs continued.
“This is what fuels us on our mission at GYG.”
GYG last traded at $23.19/sh.
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GYG down -20% as NPAT underwhelms; divvy not sweet enough, stock breaking even
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Last
$23.70 |
Change
-5.270(18.2%) |
Mkt cap ! $2.437B | |||
| Open | High | Low | Value | Volume |
| $27.04 | $27.04 | $22.00 | $62.63M | 2.675M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 1 | 400 | $23.70 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $23.80 | 400 | 1 |
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| Last trade - 16.13pm 22/08/2025 (20 minute delay) ? |
| GYG (ASX) Chart |