Companies: DOM   

Domino's average weekly unit sales hit an all-time high in the week before Christmas, with like-for-like sales in the final nine weeks of the year ahead 22% compared to 2000. The pizza delivery franchisee puts the performance down to a national TV advertising campaign and a re-imaging of its pizza outlets, most of which are franchised out to outside operators. However, the company has failed to meet new openings targets, with 24 new outlets opening during the period. In July, following the release of interim results, chief executive Stephen Hemsley said that he expected 'to murder' analysts' expectations of 26 openings for the year as a whole. However, broker Peel Hunt's Paul Hickman is not particularly worried, as the site pipeline is strong, supporting a forecast of 30 openings in 2002. The target remains to have 500 stores open by 2006, compared to 237 now. The latest news has forced Hickman to upgrade his pre-tax profit forecast again, from £2.7m to £2.8m, with earnings of 3.8p. Interim figures for the six months to 1 July, showed pre-tax profits increase 15% to £1.2m on turnover up 43% to £20.8m. The shares look well worth their premium rating given the firm's growth potential.