5th Feb 2020 09:21
(Alliance News) - Domino's Pizza Group PLC on Wednesday reported fourth-quarter revenue growth, helped by an improved like-for-like performance in the UK, and added that an international unit disposal programme is progressing.
Shares in the company were 8.2% higher at 321.70 pence each in London on Wednesday morning.
In the 13 weeks to December 29, group sales were 3.7% higher year-on-year at GBP352.0 million from GBP339.6 million. On an organic basis, at constant currency and excluding acquisitions and disposals, sales climbed 4.1% from the year prior.
In the UK & Republic of Ireland, sales were 4.4% higher at GBP326.7 million from GBP312.9 million, or up 4.5% organically.
Like-for-like sales in the UK alone were 3.9% higher during the quarter, though in Ireland, they were down 1.0%.
Internationally, sales were down 4.9% to GBP25.3 million from GBP26.6 million. On the international front, Domino's said its disposal programme is "progressing" and added that it is focusing on offloading its Norway operations.
Domino's back in October said it was reviewing operations abroad and decided to pull out of four countries despite them being "attractive" markets.
Chief Executive David Wild said: "I am pleased with the performance of our core UK and Ireland markets, with system sales up 4.4% and UK like-for-likes up 3.9%, against a strong comparative and a competitive backdrop. This performance was driven by the power of our brand, our strong digital capabilities and the operational expertise of our franchisee partners."
The company added that it has made progress in the search for a new chair, to replace Stephen Hemsley. The company in December said Senior Independent Director Ian Bull would become its interim chair until a permanent appointment is found.
Domino's added that it is in an advanced stage in its search for an interim chief financial officer. Back in December, Domino's said David Bauernfeind, its CFO, died in an accident while on holiday with his family.
"David will be deeply missed by all who knew him and worked with him. He leaves behind a high-quality finance team who have shown remarkable resilience and dedication over the past month, and we are well advanced in the search for an interim CFO," Wild said on Wednesday.
The company in August also had said that Wild is retiring as CEO, but would remain in the role until a successor is found.
By Eric Cunha; [email protected]
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