Domino’s Pizza to exit from 4 international markets citing mounting losses

Sales in international markets have been down despite a turnaround plan. The decision to quit from these markets comes in the wake of the company announcing the retirement of its CEO Wild.

On Thursday, Britain’s biggest pizza delivery company Domino’s Pizza Group Plc stated, it will be exiting international markets where it has been facing mounting losses.

“We have concluded that, whilst they represent attractive markets, we are not the best owners of these businesses,” said outgoing Chief Executive Officer David Wild in a statement.

The company, a franchise of U.S.-based Domino’s Pizza Inc, stated the group’s sales during the third quarter came on the back of strong demand in Ireland and in the UK.

The British company owns Domino’s operations in Switzerland, Iceland, Norway and Sweden, and is a minority shareholder in the Germany operations as well.

It has reported a 2.7% dip in international sales, which have taken a hit from macroeconomic events, including declining tourist numbers in Iceland. Britain ‘s exit from the EU has also taken a toll on the company’s performance with consumers and businesses in and around the United Kingdom worried about the impact of Brexit on jobs and incomes.

Although Domino’s Pizza said, it had implemented a turnaround plan in the country during the quarter, early signs have been mixed and improvement in sales were weaker than expected.

This decision follows the company announcing the retirement of its CEO Wild, while in the midst of trying to resolve a profit sharing row with disgruntled franchisees in the UK and Ireland.

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