REG - DP Poland PLC - Full Year Trading Update

DP PolandAnnouncement

Today 07:00

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20260114:nRSN7738Oa&default-theme=true

RNS Number : 7738O  DP Poland PLC  14 January 2026

DP Poland PLC

("DP Poland", the "Company" or the "Group")

 

Full Year Trading Update

 

Delivering against strategic objectives - FY25 revenue and pre-IFRS EBITDA

in line with market expectations

 

DP Poland PLC, the operator of Domino's Pizza stores and restaurants across
Poland and Croatia, provides an unaudited trading update for Q4 and the full
year ended 31 December 2025.

 

DP Poland's Chief Executive Officer, Nils Gornall, commented:

"In 2025, DP Poland advanced across its strategic priorities, delivering solid
system sales growth, improving profitability and continued progress in
executing the Group's franchise-led strategy.

The business continues to capitalise on Poland's strong economic growth and
rising disposable incomes, underpinning demand in the pizza category. Building
scale and brand awareness, the Group continues to reinforce its position as a
leading QSR pizza chain in Poland with a clear ambition to become market
leader over the medium term.

DP Poland delivered Group system sales growth of 11.3% in 2025, driven by
continued network expansion and improving like-for-like sales performance.
Fourth-quarter trading hit record store sales, supported by double-digit
growth from converted Pizzeria 105 locations. The shift to a franchise-led,
capital-light model accelerated, with one-third of stores now franchise-owned
(up from 12% last year). Combined with margin gains, growing profitability,
and supply-chain optimisation, this transformation is expected to support
sustainable EBITDA growth in 2026 and enhance shareholder value over the
medium to long term."

Financial Highlights

·    Group System Sales of £61.4m for FY 2025, a year-on-year ("YoY")
increase of 8.3% on a constant currency basis. On a reported currency basis,
Group System Sales increased by 11.3%

·    Group System sales growth accelerated towards the end of the year,
with Q4 system sales up 14.1% YoY on a constant currency basis (21.8% on a
reporting currency basis)

·      Poland Performance:

o  Total System Sales grew by 8.3% YoY, with Q4 growth of 13.9%

o  Total System Orders grew by 3.3% YoY, with Q4 growth of 10.5%

o  LFL System Sales increased 2.0% YoY, with delivery LFL sales up 5.0%

·      Croatia Performance:

o  Total System Sales increased by 8.5% YoY, with Q4 growth of 17.2%

o  Total System Orders declined by 3.6% YoY, with Q4 growth of 5.6%

o  LFL System Sales rose by 6.4% YoY, with delivery LFL sales up 12.6%

o  Order counts declined during the period as the Group navigated
inflationary pressures and implemented product pricing adjustments. In 2025,
Croatia recorded the third-highest inflation rate in the euro area. The groups
disciplined approach is showing early signs of success, as reflected in order
count growth of 5.6% in the fourth quarter.

·    Pre-IFRS 16 EBITDA for FY2025 of £2.6m (2024: £1.1m), in line with
market expectations, an increase of 136.4% YoY

o  Post-IFRS16 EBITDA for FY2025 of £6.3m, a 31.3% increase YoY (2024:
£4.8m)

·   Cash at bank as at 31 December 2025 of £1.6m, reflecting disciplined
working capital management, with no drawdown of the loan facility announced on
27 November 2025

Strategic and Operational Highlights

·      Franchise Transition:

o  Franchise-owned stores increased from 12% to 33% during 2025, representing
43 franchised locations

o  17 corporate-owned stores sold to franchise partners during the year

·    Pizzeria 105 acquisition:

o  13 locations were converted to the Domino's brand during 2025

o  Four pilot conversions were completed in Q3, followed by nine conversions
in Q4 2025

o  Pilot converted stores delivered double-digit sales growth in H2 2025,
achieving approximately 26.3% growth compared with prior performance

o  The pace of conversions is expected to build and remains on track for
completion in 2026

·      Supply chain and commissary optimisation:

o Consolidation of commissary and dough production into a single facility,
together with automation initiatives, commenced in 2025 and is expected to be
completed in Q2 2026

o  These actions are expected to improve utilisation, reduce fixed costs and
enhance labour efficiency and product consistency

·      Store network:

o  At year end, the Group operated 135 Domino's stores (129 in Poland and 6
in Croatia), representing 14% year-on-year growth in total Domino's store
numbers

o  The Group also operated 75 Pizzeria 105 locations at year end, following
their acquisition in March 2025

 

Trading Update 2025

Poland

 PLNm                   Q1 2025                          Q2 2025                      Q3 2025                      Q4 2025                  FY 2025
                        PLNm               % YoY change  PLNm           % YoY change  PLNm           % YoY change  PLNm       % YoY change  PLNm     % YoY change
 Total System sales(1)      66.3           6.5%              70.2       3.4%             69.6        9.2%             80.8    13.9%          286.9   8.3%
 LFL System sales(2)        60.1           2.9%              62.8       -1.6%            58.6        1.1%             70.2    5.7%           251.7   2.0%
 Non-delivery                  17.0        -2.0%              17.8      -7.3%              16.0      -7.4%          17.5      -3.4%           68.2   -5.1%
 Delivery                      43.1        4.8%               45.0      0.8%               42.7      4.7%           52.7      9.1%          183.5    5.0%

 

 

(1   )System Sales- total retail sales including sales from corporate and
sub-franchised stores, unaudited (excluding Pizzeria 105 stores).

(2   )Like-for-like System Sales growth in Polish Złoty, matching trading
periods for the same stores or orders growth in units, matching trading
periods for the same stores, unaudited (excluding Pizzeria 105 stores).

 

Croatia

 EURm                   Q1 2025                     Q2 2025                           Q3 2025                       Q4 2025                         FY 2025
                        EURm          % YoY change  EURm                % YoY change  EURm            % YoY change  EURm              % YoY change  EURm          % YoY change
 Total System sales(1)       1.0      12.7%                 1.0         1.7%                0.9       1.9%               1.2          17.2%              4.0      8.5%
 LFL System sales(2)         1.0      12.7%                 1.0         1.7%               0.9        1.9%                 1.1        9.4%              3.9       6.4%

 

(1   )System Sales - total retail sales including sales from corporate
stores, unaudited.

(2   )Like-for-like System Sales growth in Euro, matching trading periods
for the same stores or orders growth in units, matching trading periods for
the same stores, unaudited.

 

 

Outlook

DP Poland enters 2026 with a clear focus on accelerating the transition to a
franchise-led, capital-light operating model, which is expected to be the
primary driver of system sales growth, margin expansion and improved returns.
The proportion of franchise-owned stores is expected to continue to increase,
building on the progress achieved in 2025, with the objective of having over
half of the Domino's system franchised by the end of 2027.

 

In parallel, the Group remains focused on scaling the network towards its
medium-term objective of exceeding 200 stores by the end of 2027. Strategic
and operational initiatives are expected to support EBITDA margin
improvements, driven by further disposals of corporate-owned stores,
supply-chain optimisation and automation-led efficiencies, disciplined pricing
actions and improved purchasing power as the store network expands.

The Group anticipates double-digit system sales growth in 2026, supported by
the expected Q4 completion of the Pizzeria 105 conversion programme, continued
store rollout across both corporate and franchised formats, and ongoing
like-for-like system sales growth.

The person responsible for arranging the release of this announcement on
behalf of the Company is Nils Gornall, CEO.

 

Enquiries:

DP Poland plc

Nils Gornall, CEO

Tel: +44 (0) 20 3393 6954

Email: ir@dppoland.com

 

Panmure Liberum Limited (Nominated Adviser, Financial Adviser and Broker)

Will Goode / Ailsa Macmaster / Gaya Bhatt

Tel: +44 (0) 20 3100 2000

 

Notes for editors

About DP Poland plc

DP Poland has the exclusive right to develop, operate, and sub-franchise
Domino's Pizza stores in Poland and Croatia. The group operates 135 Domino's
locations across Poland and Croatia. In addition, DP Poland owns and operates
a second pizza brand, Pizzeria 105, with 75 locations across Poland.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  TSTFZGMMRFKGVZM



            Copyright 2019 Regulatory News Service, all rights reserved