Dominos welcomes ‘robust trading’ in FY21
Overall, the group reported a good growth in total orders, which were up 5.5% in the year
Dominos has welcomed a year of “robust” trading in what it calls a “transformational year”, with strong sales, strategic progress, resolution with franchisees and significant returns to shareholders.
Its underlying profit before tax rose by £12.7m to £113.9m in the period, driven by ongoing strong sales, with system sales rising by 11.2% to £1.5bn. Like-for-like system sales, excluding splits, were up 10.9%.
Overall, the group reported a good growth in total orders, which were up 5.5% in the year. Delivery performed well, and collections continued to recover, growing sequentially each quarter. Collections finished the year at 87% of 2019 levels.
The pizza chain said it has also developed into a “digital-first” business, with 91.2% of sales now through digital channels. A new app launched by the group now accounts for 42% of system sales in total.
The group also noted that it opened 31 new stores in the year, with new stores trading ahead of expectations. It is on track for further growth as it is set to open at least 45 new stores in FY22.
Dominic Paul, CEO, said: “This was a transformational year for Domino’s. Our performance continues to be strong, and we have made significant progress against our strategic plan, all while delivering on our ambition to return excess capital to shareholders.
“There were two major milestones in the year. First, the launch of our new strategy, which is already delivering outstanding results and a better experience for our customers. Secondly, the resolution with our franchisees which has unlocked further potential within the system.”
He added: “Our franchisees are world class operators and the whole team is already embracing a new era of collaboration, with the system working together more closely than ever before.
“This year has started well, and we now have the right strategy and a strong senior team in place to continue to drive the business forward. We remain focussed on accelerating the sustainable growth of our system together, to deliver a better future through food people love.”