Trading Update
DP Poland reports 19% system sales growth in Poland and 65.4% growth in Croatia for nine months to September 2024.
vs expectations: in line with market expectations for 2024
- Poland LFL System Sales growth YTD 21.8%
- Poland Total System Sales YTD 193.9 PLNm (prior 162.8 PLNm)
- Poland LFL System Orders growth YTD 17.3%
- Croatia Total System Sales growth YTD 65.4%
- Average weekly orders per store Poland 800+
- Planned store network by year-end 122 stores
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DP Poland, the operator of Domino's pizza stores and restaurants across Poland and Croatia, announces a trading update for the nine months to 30 September 2024.
DP Poland's Chief Executive Officer, Nils Gornall, said:
" I am delighted to report that DP Poland continues to experience exceptional growth across both Poland and Croatia. In Poland, our system sales have increased by 19% year-to-date, and orders are up 15%, showcasing our expanding customer base and the outstanding performance of our stores.
We're fully committed to our strategy of delivering quality pizza quickly and providing great value to our customers. By opening 12 new locations this year and transitioning to a sub-franchised business model, we're rapidly gaining market share and setting the stage for even greater success.
Overall, we are extremely pleased with the sales growth, organic store roll out and sub-franchise transition. With an average of over 800 orders per store each week in Poland, we're excited to carry this momentum in Q4 and beyond."
Financial detail
Poland
| PLNm | Q1 2024 | Q2 2024 | Q3 2024 | YTD SEP 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| PLNm | % YoY change | PLNm | % YoY change | PLNm | % YoY change | PLNm | % YoY change | |
| Total System sales 1 | 62,2 | 17,3% | 68,0 | 23,7% | 63,7 | 15,8% | 193,9 | 19,0% |
| LFL System sales 2 | 60,8 | 17,9% | 66,7 | 26,5% | 61,2 | 21,0% | 188,7 | 21,8% |
| non-delivery | 19,0 | 17,7% | 21,3 | 20,3% | 20,0 | 10,4% | 60,3 | 16,0% |
| delivery | 41,8 | 18,0% | 45,4 | 29,6% | 41,1 | 26,9% | 128,3 | 24,7% |
| M Orders | Q1 2024 | Q2 2024 | Q3 2024 | YTD SEP 2024 | ||||
| M Orders | % YoY change | M Orders | % YoY change | M Orders | % YoY change | M Orders | % YoY change | |
| Total System orders 1 | 1,1 | 14,4% | 1,2 | 20,3% | 1,1 | 10,1% | 3,4 | 15,0% |
| LFL System orders 2 | 1,1 | 14,8% | 1,2 | 22,8% | 1,1 | 14,1% | 3.4 | 17,3% |
| Croatia | ||||||||
| EURm | Q1 2024 | Q2 2024 | Q3 2024 | YTD SEP 2024 | ||||
| EURm | % YoY change | EURm | % YoY change | EURm | % YoY change | EURm | % YoY change | |
| Total System sales 1 | 0,9 | 74,1% | 0,9 | 72,7% | 0,9 | 51,0% | 2,7 | 65,4% |
| LFL System sales 2 | 0,5 | 8,8% | 0,6 | 9,8% | 0,6 | 4,4% | 1,8 | 7,5% |
1 System Sales and System Orders - total retail sales or orders including sales or orders from corporate and sub-franchised stores, unaudited
2 Like-for-like System Sales growth in Polish Złoty or Euro, matching trading periods for the same stores
Financial Highlights
- LFL System Sales in Poland grew by 21.8% YTD (end September 2024), with the Delivery channel continuing to increase its share of our business, now accounting for two-thirds of System Sales.
- Order counts grew strongly and most importantly was the main driver of our revenue growth, with Poland LFL System Orders increasing by 17.3% YTD, and Average Weekly Order Count for Poland continuing to expand, to over 800 per store YTD.
- Croatia LFL System Sales grew by 7.5%, maintaining excellent performance. System sales grew by 65.4% driven by new store openings.
- Since April 2024 we have experienced upward pressure on food costs, particularly dairy products. Despite this, we have continued to grow orders and market share without sacrificing store level profitability.
Operational Highlights
- We remain on track to open 16 locations during 2024 with 12 new sites and 4 stores relocated as we continue to optimise our store network. We target to end the year with an estimated 122 store network.
- Five corporate stores sold to franchisees YTD, as we transition to a sub-franchised business model.
- Planned investment in Lodz commissary was completed, adding new silos and dough making equipment, materially growing production capacity and preparing the Group for further growth.
The Board remains confident in the Group's performance and expects to be in line with market expectations for 2024.
Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.