News

Domino's Pizza NZ Australia posts modest profit

August 21, 2005

BRISBANE, Australia — Domino's Pizza Australia New Zealand reported it exceeded its profit forecasts by more than 15 percent during fiscal year 2005, ended July 3.

According to a news release, the company's unaudited financials included the following highlights: systemwide sales of AUS $306.1 million (U.S. $230 million); revenue of AUS $151 million (U.S. $113.4 million); and net income of AUS $6.8 million (U.S. $5.1 million). Final profit included a one-time charge of AUS $800,000 (U.S. $600,397) spent on taking the company public earlier this year.

The company expects to pay a dividend of slightly less than a penny per share in October.

As of July 3, the chain had 387 stores.

"We added a total of 93 stores to the network in 2004/05 — 11 more than forecast in the (public) prospectus," said chairman Ross Adler. "We still expect to add at least 42 stores in 2005-06."

Approximately 70 percent of Domino's Pizza stores are franchised, while 30 percent are corporate units. On Aug. 25, the company plans to open its 400th store.

Domino's Pizza chief executive Don Meij credited the positive results to innovation and new initiatives.

"This includes developing new and exciting products to offer our customers," said Meij. "In particular, we have been really pleased with the new range of products, including the Burst range and The Edge."