An attempt to offset higher ingredient prices has backfired for Domino’s Pizza
Profits tumbled by 74 per cent as customers baulked at price rises, it said
The final dividend has been cut to 42.6¢ a share, down from 68.1¢ a year ago
Domino’s Pizza chief executive Don Meij has described the last financial year as a “particularly bleak and tough time” as price rises put in place to offset higher costs instead kept customers away, pushing profits 74 per cent lower.
Brokers expect the recovery in the fortunes of the company – which operates Domino’s restaurants in Australia, Europe and Asia – to be slow even as Mr Meij said the focus was on providing better value to customers.
Loading...
Simon Evans writes on business specialising in retail, manufacturing, beverages, mining and M&A. He is based in Adelaide. Connect with Simon on Twitter. Email Simon at simon.evans@afr.com
