Domino's Pizza's profit and sales growth fall short from target

Domino's Pizza shares have plunged even after topping a record full-year profit.

The shares in Domino's Pizza have fell more than 20% after it failed to meet its own earnings guidance and that sales growth was slipping across its network.

Domino's net profit of $103 million was up 25% on the previous year, and underlying earnings rose 29% to $118 million. However, this was below the company's guidance and market expectations, leading to an investor reflux.

The company has predicted same-store sales in its Australian and New Zealand to grow between 14 and 16%, but they only rose to 13.6% and had further fell to 10% for the second half of the financial year.

Domino's chief executive Don Meij said he acknowledges that whilst the results are strong, they did not reach the guidance the company had set.

"We are rolling off these extraordinary numbers, which are unheard of in a business of our maturity in Australia and New Zealand,” he said. "We've just had a record year in store growth, we expect another year of record growth.”