REG - DP Poland PLC - Trading Update

DP PolandAnnouncement

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RNS Number : 4336Q  DP Poland PLC  10 July 2025

DP Poland plc

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

H1 & Q2 2025 Trading Update

DP Poland Plc, the operator of Domino's Pizza stores and restaurants across
Poland and Croatia, announces its unaudited trading update for the six months
ended 30 June 2025.

CEO Comment - Nils Gornall, Chief Executive Officer:

"Despite weak consumer sentiment in Poland throughout April, continuing from a
challenging Q1, May and June delivered a significant turnaround. The marked
improvement in sales trends resulted in record monthly system sales for both
months, contributing to a 4.9% year-to-date system sales increase - a
particularly positive result given last June included the UEFA European
Championship.  Croatia maintained solid growth with a 7% year-on-year system
sales increase, positioning us well for planned store network expansion during
the next quarter.

The acquisition of Pizzeria 105 marked a key milestone for the Group and we
are encouraged by the early progress and synergies being realised between the
two businesses. We look forward to commencing the conversion of Pizzeria 105
stores to Domino's in H2.

We remain committed to our strategy of delivering quality pizza quickly, with
a focus on value and customer innovation. Our ambition is clear: to become the
market leader in Poland while maintaining our number one position in Croatia.
We are pleased with the Group's sales performance and strategic progress in
H1, and we look forward to an exciting second half of the year and beyond."

Trading Update H1 2025

Poland

 PLNm                   Q1 2025                              Q2 2025                                  H1 2025
                        PLNm                   % YoY change  PLNm                       % YoY change  PLNm                   % YoY change
 Total System sales(1)           66.3          6.5%                     70.2            3.4%                 136.6           4.9%

 LFL System sales(2)             60.1          2.9%                     62.8            -1.6%                122.9           0.5%
 non-delivery                    17.0          -2.0%                    17.8            -7.3%                  34.8          -4.8%
 delivery                        43.1          4.8%                     45.0            0.8%                   88.1          2.7%

 

 M Orders                Q1 2025                                   Q2 2025                                     H1 2025
                         M Orders                    % YoY change  M Orders                      % YoY change  M Orders                  % YoY change
 Total System orders(1)              1.1             -0.1%                      1.2              -3.4%                    2.3            -1.8%

 LFL System orders(2)                1.0             -4.5%                      1.0              -9.0%                    2.0            -7.0%

( )

(1   )System Sales and System orders - total retail sales or orders
including sales or orders from corporate and sub-franchised stores - only
Domino's stores without Pizzeria 105 stores.

(2  )Like-for-like System sales and System orders is reported in Polish
Złoty and reflects performance over comparable trading periods for the same
stores.

Croatia

 EURm                   Q1 2025                                 Q2 2025                                 H1 2025
                        EURm                      % YoY change  EURm                      % YoY change  EURm                      % YoY change
 Total System sales(1)             1.0            12.7%                    1.0            1.7%                     1.9            7.0%

 LFL System sales(2)               1.0            12.7%                    1.0            1.7%                     1.9            7.0%

 

 M Orders                Q1 2025                                 Q2 2025                                 H1 2025
                         M Orders                  % YoY change  M Orders                  % YoY change  M Orders                  % YoY change
 Total System orders(1)             0.1            1.1%                     0.1            -11.2%                   0.2            -5.3%

 LFL System orders(2)               0.1            1.1%                     0.1            -11.2%                   0.2            -5.3%

 

(1   )System Sales and System orders - total retail sales or orders
including sales or orders from corporate stores.

(2   )Like-for-like System Sales and System orders is reported in Euros,
matching trading periods for the same stores or orders growth in units,
matching trading periods for the same stores.

Strategic and Operational Progress

The Group continues to execute against its long-term growth strategy, with a
clear focus on becoming the leading pizza brand in Poland.

Following three consecutive years of strong like-for-like (LFL) sales growth,
the business expects further growth supported by the scaling of our national
advertising fund as new stores join the network, however, at moderate rates.
The next phase of growth will be driven primarily by increasing the number of
stores led by the conversion of Pizzeria 105 locations to Domino's, alongside
organic expansion through both corporate and franchised openings. The
Company's strategy to shift from corporate-owned to franchisee-operated
stores, advancing a capital-light, franchisee-led model, is expected to drive
faster scalability, improve profitability, and support a leaner corporate
structure, as franchisees take on local operational responsibilities and
associated risks.

Pizzeria 105 Acquisition & Integration

The acquisition of Pizzeria 105, completed in Q1, represents a major milestone
in the Group's strategic journey, adding 90 locations, introducing 76
experienced franchisees to the network and accelerating the Group's
sub-franchising, capital-light growth model.

Initial franchisee feedback has been positive and engaged, with the first
pilot stores, converted from Pizzeria 105 to Domino's, prepared and on track
to open in the coming weeks.

In Q2, Pizzeria 105 generated PLN2.0 million sell-in revenue from the network
which was in line with management expectations.

Franchise Strategy & Store Optimisation

DP Poland continues to advance its corporate store sell-down program, in line
with its strategy to reinvest capital into new store openings; increase
entrepreneurial performance through franchisee ownership; and generate more
stable and consistent profit streams via royalties and food margins. In H1,
five corporate stores were franchised to four new franchisee partners,
bringing further momentum to this shift.

The Group currently operates:

·    117 Domino's stores, with 15% franchised across Poland and Croatia;
and

·    90 Pizzeria 105 locations, 100% franchised.

With a total of 8 Domino's franchisee partners and 76 Pizzeria 105 partners,
the Group is well-positioned to accelerate franchisee-led growth.

Store Openings, Renovations & Closures

In H1, four new corporate stores opened, three were renovated to enhance brand
presence, and five underperforming sites were closed as part of ongoing
network optimisation - strengthening the portfolio in line with strategic
goals.

Investor Presentation

As announced on 27 June 2025, the Company will provide a live presentation
relating to the 2024 FY Results and Q2 / H1 Trading Update via Zoom Webinar on
14 July 2025, 13:00 BST.

The presentation is open to all existing and potential shareholders. Questions
can be submitted at any time during the live presentation.

Investors can sign up to Zoom Webinar for free and add to meet DP Poland via:

https://us02web.zoom.us/webinar/register/4317507612375/WN_pOISpOZnQo2kZaKrDogkig
(https://us02web.zoom.us/webinar/register/4317507612375/WN_pOISpOZnQo2kZaKrDogkig)

This announcement contains inside information for the purposes of the UK
Market Abuse Regulation and the Directors of the Company are responsible for
the release of this announcement.

 

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

 

Enquiries:

 

 DP Poland plc                                                              Tel: +44 (0) 20 3393 6954

 Nils Gornall, CEO                                                          Email: ir@dppoland.com

 Panmure Liberum Limited (Nominated Adviser, Financial Adviser and Broker)  Tel: +44 (0) 20 3100 2000

 Will Goode / Ailsa Macmaster

 

Notes for editors

 

About DP Poland plc

 

DP Poland holds the exclusive rights to develop, operate, and sub-franchise
Domino's Pizza stores across Poland and Croatia. The group currently manages
117 Domino's locations in cities and towns throughout both countries. In
addition to operating 90 Pizzeria 105 outlets across Poland.

 

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