Domino's Pizza Enterprises Limited · ASX:DMP
Domino's Pizza Enterprises — Shareholder Meeting (November 2022)
34 slides from Domino's Pizza Enterprises's shareholder meeting presentation, Nov 2, 2022
Slide 1: 2022 Annual General Meeting announcement cover letter
Domino’s Pizza Enterprises Limited ACN 010 489 326 1/485 Kingsford Smith Drive Hamilton, QLD, Australia 4007 www.dominos.com.au 2 November 2022 For personal use only Market Announcements Office ASX Limited Exchange Centre 20 Bridge Street SYDNEY NSW 2000 Dear Sir/Madam, 2022 ANNUAL GENERAL MEETING I
Slide 2: FY22 Annual General Meeting
For personal use only FY22 AnnuaL General Meeting 2 November,2022 Chairman Jack Cowin
Slide 3: Our Purpose
OUR PURPOSE For personal use only WHY DO WE EXIST? AT OUR BEST The hard-wired human We smash the prevailing need for social connection wisdom which says you can’t – seemingly better enabled have quality, speed and low than ever before – price… is breaking down. Thus putting the world’s People crave
Slide 4: Group: Results Highlights
GROUP: RESULTS HIGHLIGHTS (1) For personal use only FY21 FY22 Growth vs. FY19 Growth vs. FY21 Actual Actual (Pre COVID to now) Network Sales $3,744.4m $3,918.0m +$173.6m +4.6% +$1,020.6m +35.2% Online Sales $2,929.8m $3,059.6m +$129.8m +4.4% +$1,117.5m +57.5% Same Store Sales Growth +9.3% -0.3% -0.3
Slide 5: Domino's for Good
DOMINO’S FOR GOOD Environmental, Social and Governance For personal use only Domino’s has completeD major esG milestones in FY22: ▪ Submitting our Science Based Targets and completing our first carbon footprint baseline measurement ▪ Approaching our target of 40% female leadership across all regions
Slide 6: New Markets: Malaysia, Singapore and Cambodia
NEW MARKETS: MALAYSIA, SINGAPORE AND CAMBODIA ▪ 2nd largest pizza chain in each market, with 287 corporate-owned stores For personal use only ▪ Long-term market growth with store count potential of 600+ stores across the three territories ▪ Extends ‘twin-region’ focus, leveraging DPE’s regional infr
Slide 7: Non-executive director elections
Non-executive director elections Jack Cowin – appointed March 2014 For personal use only Chairman ▪ More than five decades of experience in the quick service restaurant industry ▪ Founder and Executive Chairman of Competitive Foods Australia Pty Ltd, the owner and operator of more than 350 Hungry Ja
Slide 8: Group CEO & Managing Director
Group CEO & Managing director For personal use only ▪ Mr Meij’s five year contract is expiring this month and a new contract will be signed following the Annual General Meeting ▪ Over the past five years the business has transformed under Mr Meij’s leadership ▪ The Board reviewed his remuneration, i
Slide 9: Outlook
OUTLOOK • Domino’s is navigating through ongoing change – historic For personal use only inflation and global conflict are affecting consumer sentiment • In partnership with franchisees, team members and key stakeholders, Domino’s is prepared for the challenges ahead • The board thanks Management an
Slide 10: Chairman's Address
Domino’s Pizza Enterprises Ltd Annual General Meeting Chairman’s Address For personal use only 2 November, 2022 Slide 1. Holding slide and introduction It is my pleasure to welcome attendees who are joining us in person today, for the first time since 2019. Thank you for your understanding during th
Slide 11: Chairman's Address (continued)
Domino’s invests for the long-term and, at the end of this Financial Year we operated an additional 865 stores compared to pre-pandemic, FY19. Slide 4. Domino’s for Good For personal use only A long-term investment requires a focus on the sustainability of our operations and supply chain. In 2019 we
Slide 12: Chairman's Address: director elections and CEO
I have been proud to serve on this board since 2014 and would welcome the opportunity to continue to represent your interests, as Domino’s delivers on the tremendous growth opportunity ahead of us. For personal use only I believe this board is stronger for the presence of Ms Schreiber. Uschi is an e
Slide 13: FY22 Annual General Meeting: Group CEO & Managing Director Don Meij
For personal use only FY22 AnnuaL General Meeting 2 November,2022 Group CEO & Managing Director Don Meij
Slide 14: Group: Network Sales
(1) GROUP: NETWORK SALES Group: TOTAL NETWORK SALES ONLINE SALES For personal use only (2) (3) (4) (5) Highlights ▪ Over the past three Financial years, Group Network Sales has increased by more than $1 billion, including through the addition of +865 Corporate and Franchised stores to our network ▪
Slide 15: Group: Trading Update
GROUP: TRADING UPDATE Group: Trading Update For personal use only Full Year Results First Weeks of Trade (1) FY21 FY22 FY 22 FY23 Actual Actual Actual YTD Actual YTD Network Sales Growth +14.6% +4.6% +8.0% -1.8% (+4.7% excluding FX) Same Store Sales Growth +9.3% -0.3% +4.3% -1.0% +285 stores +294 st
Slide 16: Group: October Trading Update
Group: October Trading Update Asia For personal use only ▪ Domino’s is still growing through the extraordinary sales of COVID ▪ In Japan sales have significantly improved since Q1, which was negative as expected ▪ A 6% service fee has been added for online orders, for carry-out and delivery. Combine
Slide 17: Domino's Value Tree
For personal use only DOMINO’S VALUE TREE
Slide 18: The Domino's Brand
THE DOMINO’S BRAND the Domino’s branD is stronG, anD GettinG stronGer For personal use only • Australia: Most trusted QSR brand in Australia – Roy Morgan research • Australia: Highest ranked QSR - World Animal Protection • Germany: Best International Food Chain - 2021 Lieferando Awards • Netherlands
Slide 19: Our Franchisee Partners
OUR FRANCHISEE PARTNERS Franchisee partners can build customer support and sales for their local store network For personal use only Domino’s provides insights and strategies to allow franchisees to improve store operations including: - Benchmarking to target best practice costs - Examples of sales
Slide 20: Earning Customers for Life
Earning customers for life Inside our most competitive markets – aggregator platforms – Domino’s is winninG share For personal use only Our value proposition is clear in a head-to-head comparison with other meal choices Domino’s has a key competitive advantage by owning the value chain end-to-end, f
Slide 21: Denmark: Rebuilding Our Brand
Denmark: rebuilding our brand For personal use only OUR NEW PROMOTIONAL APPROACH IS DELIVERING IN DENMARK • Same store sales growth is some of the highest since acquiring this market • Domino’s has been successfully lifting ticket with the stronger brand • The market is showing positive momentum wit
Slide 22: Commodities Outlook
Commodities outlook Domino’s is not currentlY observinG a reDuction in commoDitY prices in the near-term For personal use only On the current outlook, the pace and scale of price increases have moderated - Throughout this period of rapid change Domino’s partners have supplied our stores a full menu
Slide 23: New Markets: Malaysia, Singapore and Cambodia
NEW MARKETS: MALAYSIA, SINGAPORE AND CAMBODIA ▪ The acquisition of Malaysia and Singapore is expected to be completed in November, with Cambodia to complete in CY2023 For personal use only ▪ Management expects these newest markets to start making a meaningful contribution to Domino’s network sales a
Slide 24: Domino's for Good
DOMINO’S FOR GOOD Environmental, Social and Governance For personal use only Our goal is to be the dominant, sustainable delivery quick service restaurant in all markets ▪ Domino’s Pizza Enterprises Ltd has completed our first baseline measurement for carbon emissions and water usage ▪ Our baseline
Slide 25: Outlook
OUTLOOK Domino’s Faces a challenGinG short-TERM outlook For personal use only ▪ H1: with one less trading week, FX headwinds and cycling higher SSS in Q1 (particularly in Europe and Japan), earnings will be materially lower than in the prior corresponding period ▪ H2: All regions are expected to del
Slide 26: Conclusion
CONSLUSION CONCLUSION For personal use only “While we navigate ongoing uncertainty, we are fortunate to have the certainty of an experienced franchisee base eager to expand, a digital offering that continues to outpace total sales, a menu that provides the world’s best sharing food, and a team that
Slide 27: CEO's Address
Domino’s Pizza Enterprises Ltd Annual General Meeting CEO’s Address For personal use only 2 November, 2022 Slide 9. Introduction Good afternoon. Today I intend to take you through the performance of Domino’s Pizza Enterprises Ltd in the 2022 Financial Year, the steps we are taking to ensure Domino’s
Slide 28: CEO's Address: trading and outlook
From here, a positive Same Store Sales result for the First Half will depend on an expected contribution to sales in Europe from the football World Cup and planned strong trading for Christmas in Asia. For personal use only With the momentum in our business, and a very positive H2 sales forecast com
Slide 29: CEO's Address: value tree
Within October we have had very strong results in individual weeks with new promotions that offer customers great value, lifting sales volumes and unit economics. For personal use only We have also added a 6% service fee for online orders, for carry-out and delivery. Combined with aligning costs mor
Slide 30: CEO's Address: app and products
This is good for our customers and for our stores – app users typically have higher frequency and a higher annual spend – because using our app can be a more rewarding experience, and we can present value-focused, app-only offers that are more likely to resonate with those customers. For personal us
Slide 31: CEO's Address: Earning Customers for Life
It is clear that franchisees who invest in their people, their local communities, and their customer service, are winning market share. For personal use only Slide 16. Earning Customers for Life We face unprecedented headwinds – but the solutions to offset inflation, to protect unit economics and to
Slide 32: CEO's Address: Denmark and commodities outlook
Due to improved sales and customer counts, we are seeing positive momentum in unit economics, and I look forward to providing an update on the improved financial performance in Denmark at the Half Year results. For personal use only Slide 18. Commodities outlook The cost outlook for our stores remai
Slide 33: CEO's Address: new markets and Domino's for Good
We are very excited about the longer term outlook of more than 600 stores in these markets and look forward to delivering on this potential. For personal use only Slide 20. Domino’s for Good Our long-term goal is to be the dominant, sustainable delivery QSR in all of our markets. Sustainability is e
Slide 34: CEO's Address: outlook and conclusion
I appreciate this is a challenging short-term outlook for our business. But our confidence in the medium- to long-term is built on strong unit economics, allowing an For personal use only expansion of our network to the benefit of customers, franchisees and shareholders. Despite the headwinds and sh
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