3rd Mar 2016 07:52
LONDON (Alliance News) - Domino's Pizza Group PLC on Thursday reported growth in profit in its recently-ended financial year, driven by a strong sales performance, particularly in the UK, and said it will resume share buybacks.
The pizza delivery chain said its pretax profit in the year ended December 27 grew to GBP73.2 million from GBP62.1 million the year before, as group revenue rose to GBP316.8 million from GBP288.7 million.
System sales, which represent the sum of all sales made by both franchisee and corporate stores in the UK, Republic of Ireland and Switzerland, increased by 16% to GBP877.2 million from GBP757.8 million.
Group revenue represents revenue derived from monies paid by franchisees for foodstuffs together with royalty payments for use of the Domino's brand, rental income from freehold and leasehold property, and corporate store sales in Switzerland.
Domino's said its performance was largely underpinned by strong trading in the UK, which demonstrated its ninth successive quarter of double-digit like-for-like sales growth at 12%. System sales were up by 17% and revenue rose by 10%.
Domino's will pay a dividend of 20.75 pence, a 19% increase on the 17.5p it paid the year before, as it announced that it will resume share buybacks.
"We have made an encouraging start to 2016, although we are conscious of increasingly tough comparatives through the rest of the year," Chief Executive David Wild said in a statement.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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