DP Poland narrows FY losses

Polish pizza store and restaurant operator DP Poland narrowed losses in the twelve months ended 31 December as full-year revenues were boosted by the group's growing store count.

DP Poland said on Wednesday that revenue increased by 3.1% to £29.9m in 2021, with like-for-like growth up 21% year-on-year and dine-in and delivery LFL system sales up 9% and 4%, respectively. System Sales were up 4.6% to £31.2m.

The AIM-listed firm bounced back from an underlying loss of £200,000 in 2020 to underlying earnings of £1.1m in 2021 and narrowed group losses by 51.2% to £4.3m as group margins significantly improved from -0.5% in 2020 to 3.8%.

DP Poland also highlighted that it had 121 stores at the end of the year, with the July acquisition of Dominium almost doubling the number of stores from 69.

Separately, DP Poland announced that it has agreed to enter into a share purchase agreement to acquire All About Pizza, trading as Domino's Croatia.

DP Poland will acquire the entire issued share capital of All About Pizza for approximately £2.4m, satisfied by the issue of 29.78m new ordinary shares in DP Poland based on an 8.0p per share issue price.

The group also proposed the conditional appointment of Nils Gornall, chief executive officer of All About Pizza to the Board as CEO.

As of 1320 BST, DP Poland shares were up 12.38% at 5.90p.

Reporting by Iain Gilbert at Sharecast.com