Domino's Pizza Group Plc have announced an interim dividend of 3.2p (£13.9m).
Other Financial Highlights:
Like-for-like system sales (excluding the change in the VAT rate) grew by 2.4%, driven by order count which increased by 2.1%
o Reported system sales of £710.5m, down 5.6% due to the change in the VAT rate
o Like-for-like system sales, excluding splits, down 6.4% (down 7.5% including splits) due to the change in the VAT rate
o Group revenue, which is not significantly impacted by the change in the VAT rate, was up 0.2%
Profitability is expected to be second half weighted. During the first half, underlying profit before tax was £50.9m, down £9.9m. The company began passing on these increases during the first half of the year, but will not see the full impact until the second half
H2 marketing spend expected to be significantly higher than H1. In 2021 marketing spend was focused on the Q2 yodeling campaign, this year's focus will be on accelerating spend in Q3 and into Q4 campaigns
Statutory profit after tax of £42.1m, up £0.8m as a result of international losses and non-underlying items incurred in the prior year offsetting inflation and costs incurred in H1 22
Free cash flow of £36.8m (2021: £51.3m), lower than prior year largely due to a working capital outflow in the period related to the unwind of timing of cash receipts and payments for online sales in the final week of the 2021 year, and a change in the timing of creditor payments in support of suppliers
Net debt of £236.4m resulting in a net debt / underlying EBITDA leverage ratio of 1.95x, within the target leverage range of 1.5x - 2.5x
New £20m share buyback programme, effective immediately, in line with capital allocation framework and commitment to distribute surplus capital to shareholders
Successfully refinanced existing bank debt facilities with new £200m revolving credit facility and £200m private placement facility
