The Domino’s Pizza Enterprises Ltd (ASX: DMP) share price has slipped into the red during afternoon trade today and currently trades at $155.59.
Domino’s shares are on the move after the company announced a key update regarding its executive appointments and growth vision.
Here’s what we know.
What did Domino’s announce today?
The company announced it had appointed its experienced senior executives to lead its next phase of significant growth. It projects Domino’s will grow to double its current size over the next ten years.
Current Japan CEO and president Josh Kilmnick has been appointed as CEO of Asia-Pacific.
Kilmnick will work alongside Europe CEO Andre ten Walde, with additional appointments in both regions supporting the growth vision.
The pizza giant advised that its restructure would “align with a twin-region structure, focused on opportunities in Europe and Asia-Pacific”.
This approach will see a continued focus on global strategies and systems, such as the company’s OneDigital platform which has propelled online ordering to a record 78.2% growth, according to the announcement.
Domino’s said its European and Asia-Pacific regions each have a population base of around 180 million people.
With its new focus, it intends to maximise these opportunities into 2030 and beyond.
The announcement also notes Domino’s anticipates it will grow much larger businesses in both regions, each forecast to be bigger than the entire Domino’s Pizza enterprise of today.
It intends to scale up its localised marketing and store rollouts strategy on a regional level.
The announcement claims it has taken this approach in the past, for instance when using its Australian marketing resources to support New Zealand, which has proven the benefits of the model.
Yet investors don’t appear impressed by the update and have sold Domino’s shares on the news.
Currently, the Domino’s share price is down around 2% from the market open.
Domino’s pizza share price snapshot
After a difficult start to the year, the Domino’s pizza share price has made a swift recovery and posted a return of 79% this year to date.
This extends its return over the past 12 months to 92%.
Both of these results are well ahead of the S&P/ASX 200 Index (ASX: XJO)’s return of around 25% in this time.