(Alliance News) - Domino's Pizza Group PLC on Thursday said that it had grown its market share as it announced an exclusive partnership with Just Eat Takeaway.com NV and a share buyback programme.
The Buckinghamshire-based pizza delivery company grew its market share to 7.2% in the third quarter of 2022 from 6.4% last year.
Its like-for-like system sales were up 2.4% year-on-year while its total sales were up 20% compared to three years ago.
Domino's said that it will be rolled out on Just Eat following a "very successful trial".
Following a six-month trial in 100 stores this year, Domino's has confirmed that it has now rolled out the pact to over 1,000 stores, with a further 200 to be added by the end of 2022.
The exclusive partnership means Just Eat will be the only food delivery aggregator to offer Domino's. Just Eat customers make their order via the app, which is then delivered by the local fleet of Domino's drivers.
The company announced a new GBP20 million share buyback programme, effective immediately, "as a result of strong recent momentum and confidence in the future".
Domino's also exercised its put option over a German investment. It is expected to return around GBP80 to GBP90 million over the first half of 2023. This allows the company "to be solely focused on accelerating our strategy in the UK and Ireland".
Domino's has seen a strong start to the final quarter and notes that the quarter will include the "busiest weeks of the year" with the men's football World Cup and festive season to come.
The company anticipates full year earnings before interest, taxation, depreciation and amortisation to be between GBP125 million and GBP135 million.
Interim Chief Executive Officer Elias Diaz Sese said: "As we look ahead to next year, we are well placed to succeed, with our franchise partners' focus on service, alongside enhancing our digital capabilities, offering our customers strong national value campaigns, and growing our collection business.
"Combined with the benefit of recent new store openings and the Just Eat platform roll-out, further product innovation and continued alignment with our franchise partners, we remain confident that our resilient, asset-light business model will deliver market share gains, further financial and strategic progress, and increased returns for our shareholders."
Shares in Domino's were trading 2.9% higher at 251.20 pence each in London on Thursday morning.
By Chris Dorrell; chrisdorrell@alliancenews.com
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Dominos (DOM)
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