Domino's Pizza Group

Website: Domino's Pizza Group
Index: FTSE 250
EPIC: DOM
Supersector: Travel and Leisure
Sector: Travel and Leisure
Subsector: Restaurants and Bars
Market Cap: £683.53M
Payout Frequency: Semi-Annual

Next Domino's Pizza Group Dividend

Domino's Pizza Group next goes ex-dividend on 02/04/2026. This will be the Final dividend for 2026.

The dividend per share amount is 7.7000p (GBP) and the payment date is 08/05/2026.

Dividend Details

Proposed final dividend: 7.7p per share (+3% YoY).
Total FY25 dividend: 11.3p per share (+2.7% YoY).
Ex-dividend date: 02/04/2026; Record date: 07/04/2026; Payment date: 08/05/2026 (subject to AGM approval).
Cash cost of final dividend: £29.6m; dividends paid in FY25: £43.4m (final FY24 + interim FY25).
FY25 EPS: Underlying 17.6p; Statutory 15.1p.
Underlying free cash flow (pre non-underlying): £84.6m; free cash flow reported: £80.7m.

Dividend Sustainability and Coverage

Payout ratio on FY25: c.64% of underlying EPS (11.3p/17.6p) and c.75% of statutory EPS (11.3p/15.1p) — reasonable for a mature, cash-generative franchise system.
Cash coverage: FY25 dividends of £43.4m covered ~2.0x by underlying free cash flow (£84.6m); proposed final alone (~£29.6m) covered ~2.9x. This indicates solid near-term affordability.
Balance sheet/leverage: Net debt £284.6m, leverage 2.26x underlying EBITDA — within the 1.5x–2.5x target but near the upper end; interest costs rising (net finance costs £20.0m). Still, covenant headroom remains sound.

Growth Trajectory and Policy

Dividend growth remains modest but progressive (final +3%, total +2.7%), consistent with management’s stated “sustainable, progressive dividend.”
Operational catalysts (system-wide launch of CHICK ’N’ DIP, loyalty programme expansion, digital and supply chain efficiencies) support medium-term earnings/cash flow and thus the dividend.
Near-term earnings pressure evident (Underlying EBITDA –6.6%, underlying PBT –15%), but FY26 trading is “in line with expectations,” suggesting stability rather than acceleration in dividend growth short term.

Support from Financial Performance and Capital Allocation

Cash generation remains strong (underlying FCF £84.6m) despite softer orders (total orders –0.9%) and supply chain margin pressure.
FY26 capex guided at ~£35m (vs. £24.1m in FY25) to complete SCC5 and automation; this may modestly tighten free cash headroom but is aimed at efficiency gains that should underpin future margins and dividends.
Capital returns: ordinary dividends plus buybacks (£20.1m in FY25). Management to update capital allocation later in 2026 under the incoming CFO; leverage expected to remain within 1.5x–2.5x range.

Structural/One-off Items Relevant to Dividends

Increased ownership in Victa DP (NI) to 70% in Mar-2025 and to 80% on 30 Jan 2026 — consolidates earnings but adds lease liabilities and integration focus.
Disposed of a 25% stake in Full House for £17.6m (profit £9.9m) — one-off gain, not a recurring dividend source.
RCF expanded to £300m and extended to July 2030 — enhances liquidity for both investment and distributions.
“Second brand” initiatives ceased — capital prioritised to core UK & Ireland operations, supportive of maintaining dividend discipline.

Risks and Flags to Dividend Stability

Operating softness: supply chain EBITDA down; like-for-like orders –2.3%; consumer backdrop challenging.
Cost headwinds: higher delivery labour costs in ROI (post driver status change) and higher UK employment taxes; £10.4m Shorecal impairment signals tougher ROI economics.
Leverage at 2.26x (upper half of target) and higher interest burden may limit scope for faster dividend growth or specials while capex steps up in FY26.
Consolidated net liabilities position persists, though the parent company has sufficient distributable reserves for the proposed dividend.
Capital allocation review later in 2026 could rebalance buybacks vs. dividends, introducing some policy uncertainty (though management reiterates a progressive ordinary dividend).

Dividends Used in Calculation:

Ex-Dividend Date	Payment Date	Type	Amount	Currency
03/04/2025	07/05/2025	Final	7.50p	GBX
14/08/2025	26/09/2025	Interim	3.60p	GBX

Total (Annual Dividends Per Share): 11.10p

Dividend Yield = Annual Dividends Per Share (11.10p) ÷ Share Price (178p) = 6.24%

Ex Dividend Date	Payment Date	Type	Amount	Currency
02/04/2026	08/05/2026	Final	7.7000p	GBX
14/08/2025	26/09/2025	Interim	3.60p	GBX
03/04/2025	07/05/2025	Final	7.50p	GBX
15/08/2024	27/09/2024	Interim	3.50p	GBX
04/04/2024	09/05/2024	Final	7.20p	GBX
10/08/2023	20/09/2023	Interim	3.30p	GBX
06/04/2023	11/05/2023	Final	6.80p	GBX
11/08/2022	21/09/2022	Interim	3.20p	GBX
07/04/2022	10/05/2022	Final	6.80p	GBX
12/08/2021	24/09/2021	Interim	3.00p	GBX
08/04/2021	04/05/2021	Final	9.10p	GBX
20/08/2020	18/09/2020	Interim	5.56p	GBX
19/03/2020	27/04/2020	Final	5.56p	GBX
05/09/2019	07/10/2019	Interim	4.20p	GBX
21/03/2019	25/04/2019	Final	5.45p	GBX
16/08/2018	14/09/2018	Interim	4.05p	GBX
15/03/2018	24/04/2018	Final	5.25p	GBX
03/08/2017	01/09/2017	Interim	3.75p	GBX
16/03/2017	25/04/2017	Final	4.50p	GBX
04/08/2016	02/09/2016	Interim	3.50p	GBX
10/03/2016	25/04/2016	Final	11.75p	GBX
06/08/2015	04/09/2015	Interim	9.00p	GBX
05/03/2015	27/04/2015	Final	9.69p	GBX
06/08/2014	05/09/2014	Interim	7.81p	GBX
12/03/2014	04/04/2014	Final	8.80p	GBX
07/08/2013	06/09/2013	Interim	7.10p	GBX

Year	Interim	Final	Currency	Total	Change
2024	3.500	7.200	GBX	10.700	5.940
2023	3.300	6.800	GBX	10.100	1.000
2022	3.200	6.800	GBX	10.000	-17.350
2021	3.000	9.100	GBX	12.100	117.620
2020	5.560		GBX	5.560	-43.030
2019	4.200	5.560	GBX	9.760	2.730
2018	4.050	5.450	GBX	9.500	5.550
2017	3.750	5.250	GBX	9.000	12.500
2016	3.500	4.500	GBX	8.000	-61.440
2015	9.000	11.750	GBX	20.750	18.570
2014	7.810	9.690	GBX	17.500	10.060
2013	7.100	8.800	GBX	15.900

Number of Shares:

Payment	Paid	Amount
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