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Sales Continue to Rise at This 25-Bagger

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LONDON -- Domino's Pizza Group (LSE: DOM.L  ) , which now operates pizza stores in the U.K., Republic of Ireland, Germany, and Switzerland, issued an interim management statement for Q3 this morning.

Total sales for all outlets were up 7.9% to 136.4 million pounds, with year-to-date total sales up 10.0% to 424.1 million pounds. Online sales continue to increase significantly, with e-commerce now accounting for 58.4% of U.K. delivered sales, up over 25% on 2011's 45.6%. Mobile sales specifically shot up 46.9%, and now account for 18.5% of total online sales.

At the end of September, the acquisition of Domino's Switzerland was completed, which adds 12 stores, together with the exclusive rights to develop the market in Switzerland, Liechtenstein, and Luxembourg, plus an option to add Austria as a franchise territory, which runs until 2014.

Chief Executive Lance Batchelor commented:

I am pleased to report that Q3 has been another period of growth for Domino's. Our franchisees continue to show demonstrable enthusiasm and commitment to drive the business forward, even in a challenging economic climate. We continue to set ourselves ambitious targets but believe that a great product, supported by exemplary customer service and innovative marketing will deliver strong growth in the years to come.

We approach the fourth quarter, traditionally our strongest trading period, with continued optimism and determination. We have exciting marketing initiatives in place across our markets and we are confident of meeting City consensus earnings for the full year.

Perhaps all the good news was priced in, as Domino's share price has taken a 5.6% tumble at the time of writing. But despite this morning's fall, this morning's statement from Domino's still shows how dynamic companies can become wonderful growth investments. Domino's shares are now worth more than 25 times their 2002 low.

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Jon Wallis does not own shares in Domino's Pizza. The Motley Fool has a disclosure policy. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.

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