Domino’s Pizza UK IRL Plc – the country’s biggest pizza delivery company set the market on fire as it jumped to lifetime high after the company announced that it hopes to beat street numbers in 2010.
The global brand that operates the British and Irish franchises, Domino’s have blossomed during the crisis as cash starved customers prefer ordering food over the phone rather than binging in restaurants.
The company said its popular buy-one-get-one free deals on Tuesdays and ‘one two free’ offers on large pizzas and other such offers have driven sales volumes.
In a statement issued on Wednesday, the company said that 13 weeks sales in shops open for more than a year leading to December 26, jumped by 10.3 percent. The company opened a total of 57 new stores over 2010 and currently operates 665 outlets.
Sounding emphatic over Domino’s performance, CEO Chris Moore said: “We have again finished the year with a like-for-like sales performance that is ahead of expectations and, together with the improvements in our operational gearing, the company will deliver 2010 profits ahead of current City expectations”.
Sales in the fourth quarter rose by 17.8 percent to £132.5 million. For the entire year 2010, sales were up by 19.2 percent and were recorded at £485.3 million.
The company’s online promotional activities on social networking sites such as Facebook and Twitter were extremely successful and web based orders grew by 63 percent to £128 million. Special iPhone application led innovative marketing strategies have worked well and 36 percent of its total sales in Britain come from e-commerce. The stock market has also played ball, with the share price more then trebling in two years.
Peel Hunt analyst Paul Hickman said: “Not even mentioning snow, Domino’s has had a storming Q4. This company is one of the best managed marketing-led operations in the UK today and a core holding for any consumer-facing investment portfolio”.