The Guzman Y Gomez Ltd (ASX: GYG) share price is up more than 2% after announcing its partnership with Uber Eats to accelerate growth in delivery sales.
GYG is a leading Mexican food business with restaurants in Australia, Japan, Singapore and the US.
Exclusive delivery with Uber Eats
GYG has announced a multi-year exclusive strategic partnership with Uber.
Uber Eats will become GYG’s exclusive delivery partner in Australia from 22 February 2026. Consumers using the Uber Eats platform will be able to order from their local GYG as well as GYG Delivery, which is GYG’s white label delivery offering that’s powered by Uber.
As part of this multi-year partnership, GYG and Uber will “increase their joint investment to bring guests even more value, choice and convenience.”
Will this help profit?
This exclusive partnership is designed to “strengthen the economics of the delivery channel” in GYG’s restaurants by supporting sales growth and delivering improved commercial terms.
Guzman Y Gomez’s franchisees across Australia are expected to also benefit significantly from this partnership with several initiatives in place to ensure the transition to exclusivity does not adversely impact the sales performance of GYG restaurants.
The ASX share said this partnership builds on its strong, fast-growing and profitable delivery offering, which accounted for approximately 27% of GYG’s total sales in Australia in the first half of FY26. This shows how important it is to the growth strategy.
The Mexican restaurant business will continue working with all delivery partners in the US, Singapore and Japan. The exclusivity arrangement is only in Australia.
Management commentary
The founder and co-CEO of GYG, Steven Marks, said:
Our guests love the convenience of delivery, and this exclusive partnership with Uber Eats means we can serve them even better.
This isn’t just about delivery, it’s about creating an experience that reflects the quality and speed our guests expect, while driving innovation in how we connect with them. We’re excited about what this partnership means for our guests today and for the future of GYG.
The GYG chief financial officer Erik de Plessis said:
We are delighted to announce an extension of our partnership with Uber on improved commercial terms, providing guests with exceptional convenience while accelerating the growth of our restaurants.
Building on this momentum, we continue to deliver unrivalled value to guests, along with strong financial results in our corporate and franchised restaurants.
Final thoughts on the Guzman Y Gomez share price
I can see why the market likes this announcement, with how it should improve the economics of delivery. As a shareholder, if this can lead to more sales and better margins for GYG, then it’s a good call.
With the valuation being significantly lower than it was a year ago, I think this could be a good time to invest for the long-term.
