Domino’s Pizza launches £20m share buyback after strong momentum

0

By Kyle Morris


Domino’s Pizza Group PLC announced on Thursday that it was launching a 20 million pound ($22.7 million) share buyback thanks to its strong recent momentum and confidence in its future prospects.

The pizza chain – the master franchisee to own, operate and franchise Domino’s stores in the UK and Ireland – said it had continued to gain takeaway market share in the UK, which fell from 6.4% in the third quarter to 7.2%. % one year earlier.

Third-quarter like-for-like system sales increased 2.4% year-on-year and total system sales increased 19.6% compared to the same period in 2019. Shipments decreased 12.7 % due to a difficult comparator.

For the fourth quarter to date, comparable system sales increased 10.4% in the first 6 weeks and total orders increased 2.6%.

Further shareholder returns are expected in 2023 after the sale of its German investment. He has exercised a put option on a German associated company which is expected to generate cash proceeds of £80-90m, with a profit on disposal of between £40-50m.

Domino’s also said it would be rolling out to Just Eat after a successful trial. The full rollout is expected to be completed by the end of 2022.

“We continued to take market share and grow underlying sales in the quarter, despite a tough comparator. I’m pleased we got off to a good start to our important last quarter,” the CEO said. acting Elias Diaz Sese.

“This was driven by our franchise partners’ focus on service, our focus on digital, high national value campaigns, collection growth and the initial benefit of being on the Just Eat platform. We looking forward to our busiest weeks of the year with the Men’s World Cup and the festive season ahead,” he said.


Email Kyle Morris at [email protected]

Share.

About Author

Comments are closed.