Investors in Domino’s Pizza Enterprises (ASX: DMP) are reeling as shares slumped 19% to $15.78, marking their lowest level since 2014. The sell-off followed the company’s softer-than-expected results and its first loss since listing.
The group reported a net loss of $3.7 million for the year ended 30 June, weighed down by $162.3 million in impairments, including store closures and other writedowns.
Jarden analysts, including Ben Gilbert, noted consensus estimates were “likely to come down – compounded by a weaker balance sheet”. He added: “Key is getting new management and a clear simplified strategy in place, however, near-term headwinds are likely to remain.”
Citi analysts, including Sam Teeger, described the FY26 outlook as “disappointing”, warning it would intensify debate over whether sales declines are structural or cyclical. “Key question on our mind is how quickly the business will move on cost out so it can redirect savings to advertising and franchisees,” the team said.