1st Aug 2023 09:46
(Alliance News) - Domino's Pizza Group PLC on Tuesday reported a boost in revenue in its half year, whilst profit remained flat from the year before.
In its half year ended June 25, the Milton Keynes, England-based pizza delivery group said its revenue was up 20% to GBP332.9 million, from GBP278.3 million. Domino's said that this was driven by a rise in system sales volume, acceleration of store openings, and the pass-through of food costs.
Pretax profit remained flat at GBP50.9 million, unchanged from the year before. This was partially driven by higher interest costs following the refinancing in the second half of financial 2022.
Chief Executive Officer Elias Diaz Sese said: "We have delivered a strong first half of 2023 with continued growth in orders and sales...We remain confident in the many opportunities we see for Domino's in 2023 and beyond as we continue to work towards our purpose of delivering a better future through food people love."
Total assets fell 6.5% to GBP478.3 million, from GBP511.5 million in the same period the year before.
Net debt narrowed 27% to GBP171.4 million, from GBP236.4 million in the same period the prior year. Free cash flow increased 53% to GBP56.2 million, up from GBP36.8 million.
The company declared an interim dividend of 3.3 pence per share, up 3.1% from 3.2p per share the year before.
Domino's Pizza said it expects to deliver earnings before interest, tax, depreciation and amortisation in financial 2023 of between GBP132 million and GBP138 million.
"Trading momentum is encouraging in the first three weeks of the second half of financial 2023 with like-for-like system sales excluding split stores increasing by 7.9% with total orders up 2.3%."
Shares in Domino's Pizza Group PLC were up 7.1% at 372.00 pence in London on Tuesday morning.
By Will Neill, Alliance News reporter
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