Domino’s Pizza Group plc, the leading pizza delivery company with stores in the UK, Ireland and Germany, has announced positive results for the 26 weeks ended 24 June 2012, with like-for-like sales up 5.2%, profit up 15.2%, and the interim dividend up 20%.
With continuing strong operational performance, a total of 23 new stores opened in the period with one closure, resulting in a total of 748 stores as at 24 June 2012 (2011: 688). In total, 72 stores will open during the year (2011: 62), creating nearly 2,000 jobs by the year end.
Online sales increased by 43.4% to £121.2m (2011: £84.5m), and now account for 52.4% of UK delivered sales (2011: 41.9%). Of this, 17.9% of online orders were taken through a mobile device.
- sales increased by 11.0% to £286.9m (2011: £258.4m)
- Strong operational gearing drives operating margins, excluding Germany, to 20.9% (2011: 19.9%)
- Profit before tax, excluding Germany, increased 15.2% to £23.3m (2011: £20.2m). Profit before tax, including Germany, after exceptional items, was £21.5m (2011: £19.0m)
- Like-for-like sales in 662 mature stores up by 5.2% (2011: 2.4% in 607 stores), 5.5% at a constant exchange rate; like-for-like sales in the UK increased 5.7% (2011: 3.4%); like-for-like sales in the Republic of Ireland, in euros, up by 2.9% (2011: down 8.4%)
- Earnings per share: diluted earnings per share, excluding Germany, up 16.1% to 10.68p (2011: 9.20p); basic earnings per share up 11.8% to 10.29p (2011: 9.20p); diluted earnings per share up 11.6% to 10.16p (2011: 9.11p)
- Interim dividend increased by 20.0% to 6.60p per share (2011: 5.50p)
Commenting on the results
Chief Executive Officer, Lance Batchelor, said:
“I am delighted to be able to report such a strong set of half year results. Coming on top of a solid start to the year during the first three months of 2012, we have delivered like-for-like sales growth of 5.2% across the system in the first half (2011: 2.4%).
“Our franchisees have made the most of the opportunities presented by a combination of rain, sport and national celebrations and delivered some great figures during the second quarter. The coming months should provide a real opportunity for our business. We have great new locations coming into play in the UK, our 1-2-1 marketing programme is showing encouraging returns and the opportunity in Germany is looking better by the day
“Trading since the half year end has continued in line with our expectations. While the consumer backdrop remains tough we are confident about the future and our expectations for the year as a whole remain unchanged.”
Domino’s Pizza group plc
Is the leading player in the fast-growing pizza delivery market and holds the exclusive master franchise to own, operate and franchise Domino’s Pizza stores in the UK, the Republic of Ireland and Germany. The first UK store opened in Luton in 1985 and the first Irish store opened in 1991.
In April 2011, the Group acquired a majority stake in the exclusive master franchise to own, operate and franchise Domino’s Pizza stores in Germany. On 1 May 2012, the Group changed its name from Domino’s Pizza UK & IRL plc to Domino’s Pizza Group plc to reflect the inclusion of the German market.
As at 24 June 2012, there were 748 stores in the UK, the Republic of Ireland and Germany. Of these, 588 stores are in England, 50 are in Scotland, 30 are in Wales, 20 are in Northern Ireland, one is on the Isle of Man, one is a mobile unit, 48 are in the Republic of Ireland and 10 are in Germany.