Shares in Domino’s Pizza franchisee DP Poland (LON:DPP) advanced after the business served up a double digit sales increase in its first quarter.
The Polish pizza chain, which holds the master Domino’s franchise in the eastern European country, said like-for-like sales across its corporate and franchised outlets were 17% higher than last year’s January-March period.
It marks the tenth consecutive quarter of double digit sales growth for the business, which currently runs 12 outlets across Warsaw and Krakow and six-sub franchises in the capital.
Last year, total sales topped £3.9mln, up from £2.9mln in a 2013. There’s also been a continuing improvement in store EBITDA (underlying earnings) performance.
Gross profit – sales minus food costs – as its twelve corporate outlets is up 29% on last year’s first quarter
"The fourth quarter of 2014 saw an inflection point in store performance, with total store EBITDA positive each month for the first time,” said chief executive Peter Shaw.
“In this year’s first quarter, we saw a further strengthening in the EBITDA performance of our corporate stores and our franchisees report continuing improvement in their store profitability.”
“2015 promises to be another year of progress as our maturing stores deliver growing returns and we extend the estate into new cities,” he added.
Shares were 10% higher and trading at 18.4p shortly after the announcement.