Tag: dominos-pizza-sales

Jubilant Foodworks the master franchisee of Domino’s Pizza in India reported positive SSG performance was in sharp contrast to 10% decline reported by Yum! Brands India (Pizza Hut and KFC); we highlight Yum! SSG decline was stronger this quarter versus 2-4% decline witnessed in the past four quarters. The management attributed the SSG recovery to a lower base and indicated no major pick-up in consumer spends. Price hike of 3% taken in November also aided SSG a tad, in our view.

Management highlighted that over the past 12-18 months, net consumer-level prices have gone up by (more…)

Sentiment may have bottomed, but unlike few other discretionary categories, food services remain under pressure. For Domino’s in particular, substantial price hikes (~10% since Nov, as mgmt seems to be maintaining ~75% GMs – unlike peers) may become an issue from a demand perspective.

Expansion by organized peers does put pressure on sales / costs, but more importantly, (more…)