Trading Statement

RNS Number : 0114V

Domino's Pizza Group PLC

08 January 2013

 



8 January 2013

DOMINO'S PIZZA GROUP plc

Quarter Four Trading Update

14 weeks to 30 December 2012

Domino's Pizza Group plc ("Domino's", "the Company" or "the Group"), the leading pizza delivery company, today announces its trading update for the 14 week period to 30 December 2012 ("the period") and for the 53 weeks ended 30 December 2012 ("the year").

Domino's is pleased to announce that system sales for the period increased by 20.0% to £174.5m (2011: £145.4m for 13 weeks). Trading has continued to be robust, with like-for-like sales in 612 UK mature stores growing by 5.0% for the period (2011: 4.2% in 557 mature stores for 13 weeks), while like-for-like sales in 47 mature stores in the Republic of Ireland were down in Euros by 3.8% (2011: down 0.9% in 44 mature stores for 13 weeks).

System sales for the 53 weeks ended 30 December 2012 increased by 12.7% to £598.6m (2011: £531.0m for 52 weeks). Like-for-like sales, for the year, in UK stores grew by 5.0% (2011: 3.8% for 52 weeks) and stores in the Republic of Ireland were down in Euros by 0.2% (2011: down 4.4% for 52 weeks). Like for like sales for the year in the two mature Berlin stores increased by 19.3% and 24.1%.

The star of the show continues to be online sales. Total e-commerce sales for the period in the UK and the Republic of Ireland increased by 56.6% to £84.1m (2011: £53.7m for 13 weeks) and online sales for the year were £268.6m (2011: £183.6m for 52 weeks), an increase of 46.3% (2011: 43.0%). Online sales for the year accounted for 55.7% of UK delivered sales (2011: 44.3%) and the Company has had its first £2million e-commerce day in the UK and Republic of Ireland markets. Sales for the year from mobile devices rose by 187% and now account for 19.7% of all online orders (2011: 10.1%).

During the year, the Group opened 69 stores (2011: 62) across all territories, making it a record year for store openings and, as at 30 December 2012, the Group had a total of 805 stores. Of these new store openings, 57 were in the UK and the Republic of Ireland (2011: 58) and 12 opened in Germany (2011: four). During the year two stores closed (2011: three), both of which were UK trial concepts.

We are particularly encouraged by the strong sales growth we have seen in our Berlin stores and, more recently, in the franchised stores that have opened in the west of the country. The brand is gaining awareness with recent press coverage around the opening of our flagship store in Dusseldorf and the German management team has recently been strengthened following the appointments of Kory Spiroff as Managing Director and Jan Hertzberg as Marketing Director.

In addition, the Swiss stores are already reaping the benefits of an experienced and dedicated market director and a programme of relocations and refurbishments will commence in 2013.

Lance Batchelor, Chief Executive, commented: "Yet again, Domino's has delivered solid results in a tough trading environment. Our like-for-like sales growth in our core UK market has been good and we have opened a record number of stores across the Group. We are excited by the positive signs in Germany and the Group as a whole is well-placed for further growth.

"I would like to pay tribute to the way in which our franchisees continue to drive their businesses forward, splitting territories to capitalise on potential sales and winning market share using a wide variety of sales and marketing initiatives to make sure that Domino's remains the customers' choice. Our franchisees are, and always will be, the heart of this business.

"I am pleased to announce that the Company will deliver full year 2012 profits in line with market expectations. We will update the market further on 25 February 2013 with the publication of the Company's preliminary results."

-Ends-

For further information, please contact:

Domino's Pizza:

Lance Batchelor, Chief Executive Officer                      01908 580604

Lee Ginsberg, Chief Financial Officer                             01908 580604

Georgina Wald, Head of Communications                    01908 580660

MHP:

Tim McCall, Simon Hockridge                                             020 3128 8100

Numis Securities Limited

David Poutney, James Serjeant                                         020 7260 1000

Notes to Editors:

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, Republic of Ireland, Germany, Switzerland, Liechtenstein and Luxembourg. 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. In September 2012, the Group acquired the master franchise for Switzerland, Luxembourg and Liechtenstein and an option to acquire the Master Franchise Agreement in Austria prior to the end of 2014.

As at 30 December 2012, there were 805 stores in the UK, Republic of Ireland, Germany and Switzerland. Of these, 621 stores are in England, 51 are in Scotland, 32 are in Wales, 20 are in Northern Ireland, one is on the Isle of Man, two are mobile units, 48 are in the Republic of Ireland, 18 are in Germany and 12 are in Switzerland.

Founded in 1960, Domino's Pizza is one of the world's leading pizza delivery brands. Through its primarily franchised system, Domino's Pizza operates a global network of more than 10,000 Domino's Pizza stores in 73 international markets. Domino's Pizza has a singular focus - the home delivery of pizza, freshly made to order with high quality ingredients.

Customers in the UK can order online at www.dominos.co.uk, in the Republic of Ireland at www.dominos.ie and in Germany at www.dominos.de. In addition, mobile customers can order by downloading Domino's free iPhone, iPad and Android apps.

For photography, please visit the media centre at www.dominos.uk.com, contact the Domino's Press Office on [phone], or call MHP on [phone].

 

END

 

 

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