Key facts
- Domino's revenue rose 6% to £825m in the first half of the year.
- Pre-tax profit was flat at £41m.
- Like-for-like sales growth reached 4.9%, surpassing expectations.
- The company is expanding its fried chicken offerings to drive growth.
- Chicken sales now represent about 9% of Domino's total revenue.
Domino's has reported a six per cent increase in revenue to £825m for the first half of the year, driven by its strategic expansion into the fried chicken market and boosted by World Cup-related promotions. Despite the revenue jump, pre-tax profit remained flat at £41m.
The pizza delivery chain achieved like-for-like sales growth of 4.9%, exceeding the three per cent forecast by stockbrokers Peel Hunt. Chief executive Nicola Frampton expressed confidence in the company's growth strategy, which includes expanding its chicken offerings alongside its core pizza business. This focus on chicken, loyalty programs, aggregators, and supply chain efficiency is intended to support sustainable long-term growth.
Domino's, which has faced increased competition from both pizza innovators and dedicated fried chicken chains, is betting on its new chicken range, including the 'Chick'n'dip' and Italianos lines, to attract customers who perceive these options as healthier. Chicken now constitutes approximately nine per cent of the company's total sales, up from 7.5 per cent prior to the launch of the new range.
Marketing campaigns, including those tied to the Tyson Fury fight and the World Cup, have been successful in attracting new customers and increasing purchase frequency among existing ones. The company noted a significant surge in orders during England's World Cup match against the Democratic Republic of Congo, marking it as the busiest game of the tournament for the chain. Domino's, which operates as a franchisee in the UK and Ireland, opened 11 new stores in the first six months of the year, bringing its total estate to 1,400 locations across the UK.