Domino's pizza franchise serves up $15 million profit

Domino's Pizza has achieved a net profit after tax of $15.4 million for 2009, an increase of 29.7 percent on the previous year. The profit was generated from total network sales, up by 14.4 percent to $676.4 million. The group also showed an increase of 4.6 percent of same store sales (SSS).

During the year Domino's has added seven pizza franchise stores in Australia and New Zealand and 28 European fast food franchise outlets to bring its network store total to 776. Australia now has 439 pizza franchise stores and New Zealand 77.

Don Meij, CEO and MD of Domino's Pizza Enterprises Limited said the full year success was a result of strong performances in all markets.

"The new menu in Australia, launched in February 2009, helped deliver the best SSS growth in six years with [an increase of] 7.2 percent achieved in the second half 2009. In Australia our online ordering continued to impress with more than 22.5 percent of sales now coming from this part of the business.

The pizza chain is expecting an additional 40 to 50 new pizza franchise stores in the portfolio for 2010, and increased growth on the 2009 figures of between 10 and 15 percent.

"Strategies in Australia and New Zealand include greater menu expansion, investment in quality ingredients and new technologies, and rolling out the new image design for our stores," explained Meij.

"In Europe we are looking to grow our presence on television and upgrade the online ordering experience for customers, expand our menu in France to include a lunch offering and also open a new commissary in The Netherlands to keep up with demand for hot, fresh pizzas."

Domino's Pizza Enterprises Limted is Australia's only publicly-listed pizza company and is the master franchisor for the Domino's Pizza brand in Australia, New Zealand, France, Belgium and The Netherlands.

This article appears courtesy of 5 Minute Franchising Newsletter