Ubereats, Doordash, etc, page-3

At the last HY 2024 results showed the sales in ANZ has gone up by 8.8%, contrary to what you have said here. The perception of DMP is very poor for other reasons , mainly at corporate level . Over last few years the acquisition expansion has not been successful. They have paid too much for little return. DPZ ROA is at 30% where as DMP is around 5%. At various margin levels DMP is under performing DPZ by big margins. At two levels it is more comparable to DPZ. That is at EBITDA, still bit more catch up. However at FCF it is equal %. This is due to DMP’s D&A extremely high because of the acquisition cost, but it becomes a positive at FCF level due to Capex at half of D&A.
Restructuring saving of net 30K will make a big difference by 25/26. It is roughly 25% increase to bottom line. This will provide cover for DMP to get their act together in Japan and France for sometime. In the middle of P&L, around EBIT and NP level it will take a decade or so to catch up as that high D&A has to wash through. But that should not hold back the FCF/ Asset employed figure which is high. What has been paid is paid now, but they need to tighten their belts with expenses increases and capex to improve better returns from assets. Brand doing extremely well in USA and fairly well in ANZ, Germany, Singapore. Thing to remember is that DMP has about 40% is fixed cost therefore even a 4% increase in revenue - $100m, will end up with $40m at PBT level. Therefore you don’t need those hefty store opening numbers the management keep talking about. I have used various company reports published and forecast as my calculation which are generally in line with analysts at the moment. This is a top down picture of DMP I have prepared just to understand what is happening at DMP. In my opinion Domino brand is doing well at the level it is servicing it customers and pizza is only getting more popular. Germany, France, Japan has large populations and if DMP performs as half as well as in Australia, DMP bottom line has to be good. It will take awhile to show up in DMP numbers I think.
I have done it on excel and will try to copy sometime later. Feel free to ask any questions.