DOMINO’S Pizza Enterprises Limited (ASX:DMP) is reaping the rewards after a half year of record store openings.
The pizza maker launched 60 stores across the group, including its 600th Australasian store, and integrated Domino’s Pizza Japan (DPJ) into the network, after its 75 per cent acquisition four months ago.
Statutory Net Profit After Tax (NPAT) is up 38.8 per cent to $17.5 million, with overall revenue up 88.5 per cent to $265.4 million.
In trading, DMP closed at $19.250, up 12.38 per cent on the previous days’ close.
The Japanese market has taken well to the group’s pizza and pasta offerings.
DMP managing director and CEO Don Meij (pictured) says it was a period marked by solid financial results and record highs in Japan.
“In December alone, we saw a record sales month in the Japanese market of $3.6 billion, up from a previous record of $2.9 billion,” says Meij.
“We are also extremely excited to report that we have surpassed Pizza Hut in total network sales to become number two in the Japanese market.”
DMP’s solid financial results across the period on the domestic front were aided by the rollout of 25 new stores in Australia and New Zealand. This was the highest first half organic store growth since 2006.
Growth in the domestic market was also attributed to digital innovation, which will continue to be a core company focus going forward.
Sixty per cent of total sales came from online in Australia, with over 50 per cent processed on mobile devices.
“During this period, we rolled out a new digital platform in Australia and New Zealand which was the biggest change to online ordering since it was launched in 2006,” says Meij.
“We are also the first quick service restaurant in Australia and one of the first globally to utilise Snapchat for commercial activity."
DMP shareholders will be paid an interim fully-franked dividend of 17.7 cents per share on March 11, up 14.2 per cent on the dividend paid in the prior comparative period.
The company has a total network of 1290 stores, including 610 in Australia and New Zealand.
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