DP Poland posts higher annual revenue, adjusted earnings

(Sharecast News) - DP Poland reported higher annual revenue and adjusted EBITDA for 2025, as the operator of Domino's stores in Poland and Croatia said its acquisition of Pizzeria 105 had accelerated the expansion of its franchise-led model.

The AIM-traded group said revenue rose 15.0% to £61.7m for the year ended 31 December, from £53.6m in 2024.

System sales increased 11.3% to £61.4m, while like-for-like system sales rose 5.1% to £54.2m.

Adjusted EBITDA increased 29.2% to £6.2m from £4.8m, with the margin improving to 10.1% from 9.0%. Pre-IFRS 16 EBITDA rose to £2.6m from £1.1m.

The group recorded a loss for the year of £4.3m, compared with a £0.5m loss in 2024, reflecting higher impairment charges, increased depreciation and amortisation following the Pizzeria 105 acquisition, and non-recurring acquisition and conversion costs.

Cash at the end of December stood at £1.4m, down from £10.7m a year earlier.

DP Poland said new financing facilities agreed with BNP Paribas Bank Polska in November provided additional liquidity and operational flexibility, with nothing drawn at year end.

DP Poland completed the acquisition of Pizzeria 105 in March 2025, adding 90 franchised pizza stores across Poland at the acquisition date.

During the year, 13 Pizzeria 105 stores were converted to the Domino's brand, with the pilot conversions delivering encouraging trading performance.

The company also sold 17 corporate-owned Domino's stores to franchise partners, increasing the number of franchised Domino's stores from 13 to 43 during the year.

Franchised stores represented 33% of the group estate at year end.

DP Poland opened 11 new corporate stores across Poland and Croatia in 2025.

At the end of December, the group operated 210 stores, comprising 129 Domino's stores in Poland, six Domino's stores in Croatia and 75 Pizzeria 105 franchised stores in Poland.

Chief executive Nils Gornall said 2025 had been a transformational year for the group, with the acquisition of Pizzeria 105 materially expanding the franchise network and providing a platform for the continued rollout of the Domino's brand across Poland.

"We also made substantial progress in expanding our franchise model, with the proportion of franchised Domino's stores increasing to one-third of the network," he said.

"Together with the ongoing conversion of Pizzeria 105 stores to the Domino's brand, this transition enables a more scalable, capital-efficient business model and positions the company for faster expansion."

After the year ended, DP Poland said trading momentum had continued into 2026.

In the first quarter, group system sales rose 18.9% year-on-year, or 22.7% on a reported currency basis, while system orders increased 13.7%.

Like-for-like system sales grew 9.0%.

A further four Pizzeria 105 stores were converted to Domino's during the first quarter, taking the total number converted to 17.

The company said early trading from converted stores supported management's confidence in the long-term rollout opportunity.

The proportion of franchised Domino's stores rose to about 35% of the Domino's network by the end of the first quarter, reflecting further sales of corporate-owned stores to franchise partners and continued development of the franchise model.

DP Poland also said it had completed the consolidation of its commissary operations into a single facility in February, which was expected to reduce staffing overheads, improve labour productivity through automation and lower rent, utilities and maintenance costs.

Gornall said the strengthened store network, growing franchise base and positive trading momentum into the second quarter left the group confident in its long-term growth opportunity across both Poland and Croatia.

At 1152 BST, shares in DP Poland were down 5.2% at 7.11p.

Reporting by Josh White for Sharecast.com.

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