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Domino's grows UK like-for-like sales by 6.4%

Domino's Pizza grew its UK like-for-like sales by 6.4% in the first half of its financial year as the pizza delivery company continued to open new stores and benefit from strong e-commerce sales.

CITY & CORPORATE

Domino's grows UK like-for-like sales by 6.4%

Domino's Pizza grew its UK like-for-like sales by 6.4% in the first half of its financial year as the pizza delivery company continued to open new stores and benefit from strong e-commerce sales.

The group said UK system sales in the second quarter increased by 11.7% to £147.6 million compared to the same period last year, while like-for-like sales in the quarter rose by 6.1%.

Online sales continued to rise in the first half and now account for 63.3% of UK delivered sales compared to 52.4% a year ago. The group expects this figure to rise further as it develops its in-house web and digital marketing expertise and launches the latest version of its website in the second half. 

Domino’s opened ten new stores in the UK during the second quarter, making a total of 15 new openings in the first half of the year.

In the Republic of Ireland, like-for-like sales grew by 6.5% in the first half while Switzerland saw like-for-like growth of 7.8%. In the group’s fledgling German business, sales rose 23.8% on a like-for-like basis, albeit from a low base.

Across the group, first half system sales increased by 13.8% to £326.5 million. Profit before tax, excluding Germany and Switzerland, climbed by 10.3% to £25.7 million. If Germany and Switzerland are included, pre-tax profit was £11.6 million after exceptional items compared to £21.5 million in the same period a year earlier.

Online system sales climbed 29.2% to £156.7 million with mobile platforms now accounting for 27.5% of online sales.

Commenting on the results Domino’s chief executive Lance Batchelor, said: "I am pleased with the overall results for the first half - particularly the core UK and Ireland businesses which have shown strong like-for-like sales growth against challenging comparatives. Our franchise system leads the leisure sector and, with the majority of our business coming via a web and mobile platform, we are now truly an online retailer.”

Hear the latest mobile retailing strategies and network with like-minded peers at the Retail Bulletin’s 3rd Mobile Retailing Summit, 24 September 2013. Speakers confirmed so far include The Body Shop, Domino’s Pizza Group, John Lewis, Asda, IMRG, Historic Scotland, Mobileweb Company, Economist Intelligence Unit plus more top names to be added. Click here for details and registration.

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