DP Poland reports strong full-year growth

(Sharecast News) - DP Poland reported strong growth for 2024 on Friday, with revenue rising 20.2% to £53.6m and system sales up 19.8% to £55.2m, driven by robust like-for-like growth in Poland despite a challenging macroeconomic backdrop. The AIM-traded company, which holds the master franchise for Domino's Pizza in Poland, delivered its third consecutive year of double-digit like-for-like system sales growth in the country, which rose 17.9%, supported by a 20.1% increase in delivery channel sales.

It reported a significant improvement in profitability, with adjusted EBITDA rising 37.6% to £4.8m, while the group loss narrowed sharply to £0.5m from £5m a year earlier.

DP Poland ended the year debt-free following the repayment of its outstanding loan to Malaccan in December, and held £11.3m cash at year-end.

"2024 was a pivotal year as we advanced our transformation strategy and laid the foundation for long-term success," said chief executive Nils Gornall.

"Despite a challenging macroeconomic environment and a record prior year comparison, we delivered sustained, robust sales growth and enhanced our store network through accelerated expansion and optimisation, and continued progress on our franchising strategy.

"Our refined pricing strategy and enhanced customer value proposition delivered record-breaking sales and orders, firmly positioning the business for continued momentum into 2025."

The group's store network expanded significantly, operating 118 stores at the end of 2024, including 113 Domino's Pizza outlets in Poland and five in Croatia.

Following the first-quarter 2025 acquisition of Pizzeria 105, the group now operates 120 Domino's stores and an additional 90 Pizzeria 105 locations.

Looking ahead, DP Poland said trading in the early part of the second quarter of 2025 was tracking ahead of the same period last year.

It said it would issue a trading update for the second quarter and first half in mid-July.

At 1216 BST, shares in DP Poland were up 8.11% at 10p.

Reporting by Josh White for Sharecast.com.