A successful year for Domino's
The pizza chain's expansion in Japan proves to be profitable.
Domino's reports a 50.4% increase in underlying net profit after tax from last year, which totals to $45.8 million.
In a report released today, it noted that since the acquisition of Domino's Japan, the chain now reports an underlying EBITDA of $95.1 million, with Japan contributing an EBITDA $27.4 million. A 70% increase from the corresponding period last year.
Same Store Sales remain strong in ANZ, growing to 6.3%; and Japan at 10.7%.
"We are confident of continuing the current strong momentum to deliver EBITDA growth in the region (Japan) of 20%," said Domino's Chief Executive Officer and Managing Director Don Meij.
"We are working closely with the [Domino's Japan] management team on a strategy which will see us continue to relocate stores to higher profile locations in FY15. We are confident this will assist in our goal to be the number one competitor in the Japanese market within 18 moths."
He reinforced that the ANZ market is also far from mature, commenting that, "target store counts in these markets have been upgraded from 800 to 900 stores, being nearly 50% more than the number open today.
After the launch of numerous digital platforms including the Offers App, Pizza Chef and digital wallet options in Australia and New Zealand, Meij said that the business had worked hard to position itself with a clear digital advantage in its marketing and social strategies.
"During the past 12 months in particular, we have invested in our electronic commerce capabilities to ensure we remain relevant to our customers' changing preferences."
This strategy has seen DMP reach record online sales in a number of markets.
"In all of our markets we remain committed to improving the quality of our products, driving the Domino's vision of leading the way in digital space, and delivering value for our customers -- that's what they want from us and we are committed to raise the bar to a new level," he added.
