The group is closing stores in Latin America, “shrinking” its size by half. The aim is to focus on operations in Portugal, Spain and Ireland in an attempt to recover profitability.
Telepizza is closing stores in Latin America, “shrinking” its size by half. The aim is to recover its profitability by concentrating on its operations in Portugal, Spain and Ireland, the Spanish newspaper Cinco Días reported on Wednesday.
According to the publication, Telepizza has closed 170 stores in Guatemala and El Salvador and will not stop there. It is also looking for a buyer for another 600 stores in Chile, Colombia, Ecuador and Mexico.
Telepizza, which had a network of 2,368 outlets worldwide in February 22, reduced this number to 2,180 last year. At the end of this process, it should be left with just 1,200 stores. After leaving Latin America, the group will focus on Portugal, Spain and Ireland in order to regain profitability, writes Cinco Días.
According to the estimates on the table, Telepizza expects to achieve sales of 721 million this year, almost half of the 1,377 million estimated for the 2023 financial year.
The group closed the first half of last year with losses of 44.6 million euros, worsening the figures compared to losses of 28.8 million euros in the same period the previous year.