Domino's Pizza Chain Operator In China Sizzles

The operator of Domino's Pizza restaurants in China said its revenue rose 41% last year, as it announced plans to accelerate its new store openings in 2025

Key Takeaways:

DPC Dash reported its first-ever annual profit in 2024, as its revenue rose 41% and it passed the 1,000-store milestone

The operator of Domino's Pizza restaurants in China plans to open 300 new restaurants this year, with a strong focus on ‘new growth markets' outside Beijing and Shanghai

2024 was a year filled with milestones for DPC Dash Ltd. (1405.HK), operator of the Domino's Pizza chain in China. Topping the list was the company's first-ever annual profit. It also became Domino's (DPZ.US) undisputed global leader by claiming all of the top 30 spots for the brand's best-performing stores worldwide in their first month.

The company was also one of only a handful of restaurants operators in China to record same-store sales growth throughout the year. And last but not least, it also passed a more symbolic milestone with the opening of its 1,000th store, making it one of only three pizza chains in China to reach that mark.

Despite that list of achievements, DPC isn't immune to the broader economic slowdown that's currently dampening demand for a wide range of industries as Chinese consumers grow more cautious.

Beijing is hoping to change things with a wide range of stimulus measures, including a growing number aimed at boosting consumer spending. At the annual meeting of the country's legislature earlier last month, it gave cause for optimism that the situation would stabilize by keeping its annual GDP growth target at about 5% for 2025, the same as last year.

DPC appears to be placing its bets in the same direction, announcing in its latest annual results plans to accelerate its new store openings this year as it dives deeper into China's many underserved smaller cities. After opening 240 stores last year to cross the 1,000-store milestone, with 1,008 ...

https://www.benzinga.com/news/earnings/25/04/44591610/dominos-pizza-chain-operator-in-china-sizzles