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The Markets
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Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Leisure, gaming and gambling

Domino's Pizza not so tasty as orders slow

Shares dropped 7% as takeaway giant said deliveries had stalled in past three months

Domino’s Pizza Group PLC shares were off the menu after the takeaway giant warned demand had slowed in the three months to September.

Orders over the quarter were 16.7 million, down 1.2% on this time a year ago, which the company blamed on a dip in delivery orders though more collections cushioned some of the decline.

Delivery orders had recovered since September, said chief executive Andrew Rennie, with store openings also ahead of plan and trading well.

Some 45 new outlets have opened this year, up from 21 at this point last year with at least 60 sites targeted to open for this year.

App use had also soared, said Rennie, with around 80% of online orders now made using it, up from 75% three months earlier.

System sales in the three months were £363 million, up 5.5%, and by 7% to £1.1 billion for the year to date.

Underlying profits guidance was held at between £132-138 million.

Broker Liberum said that consensus revenue forecasts for the year imply 20% growth in the fourth quarter, which looks ambitious given the World Cup this time a year ago, but the maintained profits guidance suggests margins might be better.

Shares tumbled 26.6p to 346p.

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