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Domino's mobile delivery

Full-year results are expected to reveal continued strong UK growth
February 18, 2015

Domino's Pizza Group (DOM) releases full-year figures on Thursday, when shareholders will hope for more signs of the strong performance reported in October. That third-quarter update included robust like-for-like sales in the UK, buoyed by promotions, improved consumer confidence and the growing popularity of Domino's website and mobile app, which generated 71 per cent of sales, up from 62 per cent a year previously.

IC TIP: Hold at 670p

Strengthened by new openings, overall trading remained positive to the year-end. And, according to a brief January update, pre-tax profits will be marginally ahead of consensus. Investors will also be looking for improvements in sluggish German sales and signs that cost savings, a focus on pizza quality and the closure of underperforming outlets will translate to earnings growth.

Numis expects a 14 per cent pre-tax profit increase to £54.2m, with full-year EPS of 26p.