Trading Statement

Domino's is pleased to announce that system sales for the period increased by 20.0% to £174.5m (2011: £145.4m for 13 weeks). Trading has continued to be robust, with like-for-like sales in 612 UK mature stores growing by 5.0% for the period (2011: 4.2% in 557 mature stores for 13 weeks), while like-for-like sales in 47 mature stores in the Republic of Ireland were down in Euros by 3.8% (2011: down 0.9% in 44 mature stores for 13 weeks).

System sales for the 53 weeks ended 30 December 2012 increased by 12.7% to £598.6m (2011: £531.0m for 52 weeks). Like-for-like sales, for the year, in UK stores grew by 5.0% (2011: 3.8% for 52 weeks) and stores in the Republic of Ireland were down in Euros by 0.2% (2011: down 4.4% for 52 weeks). Like for like sales for the year in the two mature Berlin stores increased by 19.3% and 24.1%.

The star of the show continues to be online sales. Total e-commerce sales for the period in the UK and the Republic of Ireland increased by 56.6% to £84.1m (2011: £53.7m for 13 weeks) and online sales for the year were £268.6m (2011: £183.6m for 52 weeks), an increase of 46.3% (2011: 43.0%). Online sales for the year accounted for 55.7% of UK delivered sales (2011: 44.3%) and the Company has had its first £2million e-commerce day in the UK and Republic of Ireland markets. Sales for the year from mobile devices rose by 187% and now account for 19.7% of all online orders (2011: 10.1%).

During the year, the Group opened 69 stores (2011: 62) across all territories, making it a record year for store openings and, as at 30 December 2012, the Group had a total of 805 stores. Of these new store openings, 57 were in the UK and the Republic of Ireland (2011: 58) and 12 opened in Germany (2011: four). During the year two stores closed (2011: three), both of which were UK trial concepts.

Final results on the 25th.

Final Results

Financial Highlights

· System sales1 increased by 12.8% to £598.6m (2011: £530.6m for 52 weeks)

· Record profit before tax2, including Germany and Switzerland, of £46.7m, up 10.8% (2011: £42.2m)

· Profit before tax2, excluding Germany and Switzerland, increased 14.2% to £49.7m (2011: £43.6m)

· Like-for-like sales3 growth of 5.0% in 612 UK mature stores (2011: 3.7% in 557 mature stores)

· Earnings per share (pre exceptional items):

o Diluted earnings per share up 14.1% to 21.95p (2011: 19.24p)

o Basic earnings per share up 13.8% to 22.17p (2011: 19.48p)

· Statutory basic earnings per share up 14.4% to 19.04p (2011: 16.65p)

· Final dividend increased by 16.2% to 7.90p per share (2011: 6.80p)

· Record of 69 new stores opened in the period (2011: 62 stores) with two closures (2011: three) resulting in a total of 805 stores in four countries as at 30 December 2012

· Online system sales increased by 46.3% to £268.6m (2011: £183.6m) with online sales accounting for 55.7% of UK delivered sales (2011: 44.3%). Of this, 19.7% of online orders were taken through a mobile device (2011: 10.1%)

· Adjusted net debt⁴ to EBITDA of 0.5:1 (2011: 0.4:1), highlighting our low financial leverage

inevitably sp has tumbled .... for some reason DOM's sp always does so regardless of how good the results

Challenging highs today.

Domino's Pizza Group plc will announce its Q1 2013 IMS for the 13 weeks to 31 March 2013 on 4 April 2013.

Quarter One Interim Management Statement

Domino's Pizza Group plc ("Domino's", "the Company" or "the Group"), the leading pizza delivery company with stores in the UK, Germany, Republic of Ireland and Switzerland, announces its Interim Management Statement covering the 13 week period to 31 March 2013 ("the period") unless otherwise stated.

The Company has made a solid start to the year with system sales rising by 12.3% to £164.1m (2012: £146.2m) driven by strong like-for-like sales growth in the latter part of the quarter. Despite the disruptive impact of the snow early in the quarter, like-for-like sales in the UK in 670 mature stores increased by 6.6% (2012: 4.1% in 615 mature stores) thanks to sales of new products such as the Domino's Hot Dog Stuffed Crust, a successful short-term price led promotion and some weaker comparative figures due to warmer weather last year. In addition, like-for-like sales, in Euros, in the Republic of Ireland have been resilient throughout the period and rose by 8.1% (2012: 1.5%).

The growth in e-commerce continues apace with 61.9% of all UK delivered sales (2012: 49.8% of UK delivered sales) coming via the internet. Sales taken through all online platforms were up 38.4% to £82.4m (2012: £59.5m) and, of this, 25.2% was taken through a mobile device (2012: 16.4%).

During the period, seven new stores (2012: six) were opened - five in the UK and two in Germany - and with a large number of locations in the pipeline, the Company aims to open 60 new stores in the UK and 18 in Germany this year.

The expansion in Germany continues to progress well and the Company is already seeing some very successful stores, especially among our fledgling franchised community. Like-for-like sales, in Euros, in the six mature stores (2012: two mature stores) are showing encouraging progress from a low base and are up 40.3% in the period (2012: 3.7%). High performing UK franchisees are continuing to lead the way in the German expansion, with the first German franchisee about to come on board. The Company continues to roll out corporate stores too and there are plans in place to accelerate the training programme needed to deliver store managers in the required numbers. Plans for a new commissary in North Rhine Westphalia are also moving forward and it is anticipated that this will be open in Quarter Four this year.

The Swiss market is also undergoing radical change. An intense programme of staff retraining, improved menu development and the new marketing initiatives are already paying off with the stores showing good growth over recent months. Like-for-like sales, in Swiss Francs, in the 10 mature stores are up 9.3% for the period. As planned, two stores have been closed as part of the overhaul of the estate and plans are well underway for the store refit and relocation programme this year.

Lance Batchelor, Chief Executive Officer, commented: "Domino's continues to show that there are still significant opportunities in our core UK and Republic of Ireland markets as well as the new territories of Germany and Switzerland, and we are in a great position to seize those opportunities.

"New product launches, a relentless focus on service, industry leading digital and online technology, an ever growing marketing budget, and a healthy pipeline of new sites are just some of the ways we continue to drive this terrific business forward.

"We know that the ongoing economic pressures are leading to a tough trading environment and we have extremely tough comps in the second quarter to overcome as well as food cost increases coming through during the year, but, with first class franchisees and a strong head office team, I expect, at this early stage in the year, that trading will be in line with market expectations for 2013."

-Ends-

why did DOM get whacked yesterday?
today i'll understand it as sp always but always slumps after the results

Not today though!

Recent all time high @627.50 looks within reach today.

Pre-Close Trading Update http://www.moneyam.com/action/news/showArticle?id=4625631

Down 52p-nearly 8% so far today!

Good results and sp goes down?

DOM's sp nearly always crashes on its results, regardless .... see post 511!

So is it a buying oportunity?

I notice post 507 said the same.

Canaccord Genuity Sell 556.50 600.00 550.00 500.00 Downgrades

had a quick look, and a number of unhappy issues highlighted

N+1 Singer Hold 555.75 600.00 611.00 611.00 Retains

Canaccord comment today:
"System sales are up 13.8% and despite operating margins rising 30bps, PBT growth has lagged sales growth at 10.3%. These growth rates exclude Germany and Switzerland which when accounted, has resulted in PBT falling 46%. The group has incurred exceptional charges of £12.3m relating to impairments of the German business. Whilst the headline UK and IRE LFL sales number will make for some positive reading at c6.5%, we are not seeing the expected profit flow through that one would expect. Greater clarity on the price, mix and volume dynamic is required as one should not lose sight that DOM Plc makes c75% of its revenues as a food distributor to its franchisees. Overall EPS (FD) is up 5.4%, DPS is up 7.6% but overall net debt is up 43% to £23.3m. Moreover the CFO, Lee Ginsberg is leaving the business at the 2014 AGM and a search for his successor will commence shortly
The performance of the German business is of increasing concern. Whilst management highlight German LFL sales up 23.8%, at the same time there is a £12.3m write down of German assets. The CEO comments further on that there will be a longer path to profitability with breakeven in 2016 or 2017 rather than 2015 We are also concerned that the drivers of the +6.4% LFL sales in H1 are not sustainable, and could be impacting franchisee margins via an increase in overall system promotional activity. Whether this dynamic as well as the majority of new openings being area splits, could be hampering franchisee appetite to open more stores. This would represent the one main risk to the investment case. Comments that pressures on commodity prices are rising could also lead to higher prices being passed onto franchisees.
The shares trade on a PE of 27x and EV/EBITDA of 16.6x for a business that is now delivering forecast and balance sheet downgrades. Our forecasts assume PBT growth of c15% in the UK & IRE business vs. the 10% delivered in H1, with the overall group c5% - forecast risk remains on the downside. Cash from operations of £15.5m (2012: £18.8m), significant working capital investment in Germany (increase in debtors) has resulted in higher debt. We feel the combination of multiple moving parts has resulted in higher risk suggesting a moderation to our Quest™ derived target price which we reduce to 500p. SELL.

I've just noticed the Director/PDMR Dealing -

Lee Ginsberg, the Chief Financial Officer of the Company disposed of a total of 70,000 Ordinary Shares on 30 July 2013 at an average price of 578 pence per Ordinary Share.

He did very well price wise!