No profits delivered by Domino's pizza in Germany
July 31 , 2013
Domino's Pizza said training cost and poor performance is to be blamed at some of its outlets in Germany. The delivery firm mentioned that plans to impose minimum wage would also hinder its schedule for expansion. It's shares have gone down by 5 percent and the company said the expansion in Germany could be longer than it had anticipated.
Domino's had hoped to break even in Germany by 2015 and it is now converting its managed stores into franchises, which would cost the company up to $7.6m in the second half of the year.
Chief Executive Lance Batchelor said the company is committed to its plan in Germany and is excited about the same.