Domino's reports 4.4% sales increase of UK, Ireland division in Q4 2019
Meanwhile, sales from its international division declined by 5%.
Domino’s UK and Ireland division saw a 4.4% increase in sales to £326.7 million in Q4 2019.
“This performance was driven by the power of our brand, our strong digital capabilities and the operational expertise of our franchisee partners,” CEO David Wild said in their latest disclosure.
The UK system sales went up 4.6%, whilst like-for-like sales increased by 3.9%, excluding stores in split territories.
Ireland system sales rose by 0.9%, or 2.6% in euro, and like-for-like sales, excluding splits, slowed down by 1%.
Meanwhile, sales from Switzerland, Iceland, Norway and Sweden, saw a collective decline of 5% to £25.3 million in the same quarter, compared to £26.6 million last year.
Last October, the company announced it was leaving these international markets. Since then, it focused on its directly-run stores in Norway, “given the significant operating losses in this market.”
The UK-based company is expecting an operating loss of £20 million for its international operations, which also includes “an element of onerous leases and related costs in order to reduce future cash outflows.”
In the same period, Domino’s opened 12 new stores in the UK and none in Ireland, bringing a total of 32 stores opened in the region in 2019.
Moreover, the Board is close in naming their interim CFO, following the passing of David Bauernfeind.
