Domino's Pizza Group PLC
F:DKOB
Decide at what price you'd be comfortable buying and we'll help you stay ready.
|
D
|
Domino's Pizza Group PLC
F:DKOB
|
UK |
Domino's Pizza Group PLC
Domino's Pizza Group PLC is the company behind the Domino's Pizza brand in the UK and Ireland. It does not mainly run restaurants itself; instead, it owns the franchise rights for the brand and helps independent franchisees sell pizzas, sides, and drinks through delivery and takeaway stores. Customers are everyday consumers ordering fast food for home delivery or collection. The company makes money in a few clear ways. Franchisees pay it fees for using the Domino's brand and system, and the company also earns from supplying ingredients, packaging, and other goods through its distribution network. It also benefits from advertising and technology services that support the ordering app, website, and store operations. What makes this business model different is that Domino's Pizza Group sits between the brand and the local store owners. It collects recurring income from many franchise locations while leaving the day-to-day running of shops to franchisees. That gives it a role as the owner and coordinator of the pizza system rather than a traditional restaurant chain operator.
Domino's Pizza Group PLC is the company behind the Domino's Pizza brand in the UK and Ireland. It does not mainly run restaurants itself; instead, it owns the franchise rights for the brand and helps independent franchisees sell pizzas, sides, and drinks through delivery and takeaway stores. Customers are everyday consumers ordering fast food for home delivery or collection.
The company makes money in a few clear ways. Franchisees pay it fees for using the Domino's brand and system, and the company also earns from supplying ingredients, packaging, and other goods through its distribution network. It also benefits from advertising and technology services that support the ordering app, website, and store operations.
What makes this business model different is that Domino's Pizza Group sits between the brand and the local store owners. It collects recurring income from many franchise locations while leaving the day-to-day running of shops to franchisees. That gives it a role as the owner and coordinator of the pizza system rather than a traditional restaurant chain operator.
Q4 Growth: System sales in the UK and Ireland rose 4.4% in Q4, with like-for-like growth of 3.9%.
Online Sales: UK online sales grew strongly at 8.3%, now making up a record 91.3% of delivery sales.
Store Openings: 32 new stores opened in the UK and Ireland in 2019, mostly franchised.
International Exit: Domino's is focused on exiting its international markets, prioritizing a sale of the loss-making Norway business.
Impairments & Losses: Expected year-end impairment charges of around £20 million for London corporate stores and £20–40 million for international, plus a £20 million operating loss from international markets.
Franchisee Dispute: Ongoing complex dispute with UK franchisees continues; no timeline given for resolution.
Cost Pressures: Significant labor cost increases from the national living wage and pork price spikes are impacting franchisees.
