The Week Ahead: Will Domino's Q2 results show it powering ahead?

Domino's Pizza will be in focus this morning as the City finds out whether the fast-food chain has managed to sustain the pace of sales growth seen in the first quarter of the year.

House brokers Altium and Numis are upbeat, expecting the company's promotions, its sponsorship of ITV's popular reality television programme Britain's Got Talent, the football World Cup and relatively weak comparatives to underpin trading during the second quarter.

Analysts at Altium reckon that this morning's half-yearly numbers could "offer another opportunity for upgrades", noting that Domino's Q1 update at the end of March was "exceptionally positive, with like-for-like sales over the first 13 weeks ahead by a very impressive 10.5 per cent".

"Momentum within the business was such as that a continuation of double-digit sales growth throughout the second quarter is quite possible," the broker added in a preview last week.

Panmure Gordon was more cautious, however, pointing out that recent numbers from the UK's third-largest pizza delivery chain, Papa John's, showed a "modest slowdown" in the growth in like-for-like system sales over the second quarter.

"Papa John's is a very good proxy for Domino's," the broker said, pointing out that the pullback came despite the World Cup. "We think the market will be disappointed by a slowdown in like-for-like sales growth at Domino's in a quarter where comparatives are the easiest of the year and there is the beneficial impact of the World Cup."

Meanwhile, Panmure is anticipating news of at 49 per cent rise in revenues when Immunodiagnostic Systems, the Aim-listed manufacturer of specialist diagnostic-testing kits, posts its full-year figures this morning. Revenues are expected to jump to £37.1m, which would put them in line with the company's trading update in April. Pre-tax profits are forecast to come in at £10.2m, which should result in earnings of 27.7p per share.

Results/Updates: Hyder Consulting, Immunodiagnostic Systems and Domino's Pizza UK & Ireland.



Tomorrow

The luxury goods group Burberry is due to issue a first-quarter trading statement and UBS is eyeing £261m in sales. If achieved, that would equate a 14.1 per cent increase on the year.

According to the broker: "Organic top-line growth of 10.2 per cent should be compounded further by a 4 per positive impact from currencies",

Beyond the numbers, UBS expects Burberry's management to remain confident about the retailer's outlook in what remains a mixed business environment, with "strong growth areas like Asia expected to be at least partly offset by pressure stemming from the austerity measures taken in large parts of Western Europe".

Also tomorrow, the IT company Computacenter is due to issue a pre-close update, and Panmure expects the company's trading to be in line with expectations.

The broker said: "While the outlook is likely to be described as 'uncertain', there should be plenty of positive operational signs. However, the mix of economy, public-sector-spending uncertainty and a slow services business is likely to make this normally reticent management team guide to no changes for full year forecasts."

Results/Updates: Northern Foods, Computacenter and Burberry.



Wednesday

Numis is looking forward to a "reassuring update" from the housebuilder Barratt Developments. Pressured by the recent equity-market falls and growing concern about the strength of the housing-market recovery, the sector has been under pressure in recent months.

Numis expects Barratt to soothe nerves by confirming that sales have been in line with expectations, and that prices have continued to hold firm or improve. It said: "In our view, the main take away from the results will be the second-half operating margin, which we expect to hit 5.6 per cent (up from 2.7 per cent in the first half) as the group benefits from cost savings, house-price inflation and re-planning."

Numis believes there is a also strong chance of Barratt beating expectations about its net debt position.

Results/Updates: ASOS, Ashmore, Fresnillo, Rio Tinto, London Stock Exchange and Barratt Developments.



Thursday

Mothercare is due to issue a Q1 update at its annual general meeting. UBS is looking for total sales growth of 3 per cent, with UK like-for-like sales expected to be 2 per cent lower. "This low, single-digit, top-line growth reflects challenging trading conditions in the UK, which is partly compensated for by continued strong space growth for its international franchise network," the broker said. It forecasts that Mothercare's international retail sales will have grown by 20 per cent.

Results/Updates: Supergroup, Experian, Premier Oil and Mothercare.



Friday

Results/Updates: Record and Bluebay Asset Management.

PROMOTED VIDEO
News
ebookA unique anthology of reporting and analysis of a crucial period of history
Life and Style
Phillips Idowu, Stella McCartney and Jessica Ennis
fashionMcCartney to continue designing Team GB Olympics kit until 2016
Sport
Shinji Kagawa and Reece James celebrate after the latter scores in Manchester United's 7-0 victory over LA Galaxy
football
Voices
voicesGood for Lana Del Rey for helping kill that myth, writes Grace Dent
Sport
Farah returns to the track with something to prove
Commonwealth games
Life and Style
fashion Designs are part of feminist art project by a British student
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Junior Research Analyst - Recruitment Resourcer

£18000 - £20000 per annum + OTE £25K: SThree: SThree Group has been well estab...

Senior Analyst - Financial Modelling

competitive: Progressive Recruitment: This really is a fantastic chance to joi...

Associate CXL Consultant

£40000 - £60000 per annum + BONUS + BENEFITS: Harrington Starr: CXL, Triple Po...

Business Anaylst

£60000 - £75000 per annum + BONUS + BENEFITS: Harrington Starr: Business Anal...

Day In a Page

Backhanders, bribery and abuses of power have soared in China as economy surges

Bribery and abuses of power soar in China

The bribery is fuelled by the surge in China's economy but the rules of corruption are subtle and unspoken, finds Evan Osnos, as he learns the dark arts from a master
Screwing your way to the top? Good for Lana Del Rey for helping kill that myth

Screwing your way to the top?

Good for Lana Del Rey for helping kill that myth, says Grace Dent
Will the young Britons fighting in Syria be allowed to return home and resume their lives?

Will Britons fighting in Syria be able to resume their lives?

Tony Blair's Terrorism Act 2006 has made it an offence to take part in military action abroad with a "political, ideological, religious or racial motive"
Beyoncé poses as Rosie the Riveter, the wartime poster girl who became a feminist pin-up

Beyoncé poses as Rosie the Riveter

The wartime poster girl became the ultimate American symbol of female empowerment
The quest to find the perfect pair of earphones: Are custom, 3D printed earbuds the solution?

The quest to find the perfect pair of earphones

Earphones don't fit properly, offer mediocre audio quality and can even be painful. So the quest to design the perfect pair is music to Seth Stevenson's ears
US Army's shooting star: Lt-Col Steven Cole is the man Hollywood calls when it wants to borrow a tank or check a military uniform

Meet the US Army's shooting star

Lt-Col Steven Cole is the man Hollywood calls when it wants to borrow a tank or check a military uniform
Climate change threatens to make the antarctic fur seal extinct

Take a good look while you can

How climate change could wipe out this seal
Should emergency hospital weddings be made easier for the terminally ill?

Farewell, my lovely

Should emergency hospital weddings be made easier?
Man Booker Prize 2014 longlist: Crowdfunded novel nominated for first time

Crowdfunded novel nominated for Booker Prize

Paul Kingsnorth's 'The Wake' is in contention for the prestigious award
Vladimir Putin employs a full-time food taster to ensure his meals aren't poisoned

Vladimir Putin employs a full-time food taster

John Walsh salutes those brave souls who have, throughout history, put their knives on the line
Tour de France effect brings Hollywood blockbusters to Yorkshire

Tour de France effect brings Hollywood blockbusters to Yorkshire

A $25m thriller starring Sam Worthington to be made in God's Own Country
Will The Minerva Project - the first 'elite' American university to be launched in a century - change the face of higher learning?

Will The Minerva Project change the face of higher learning?

The university has no lecture halls, no debating societies, no sports teams and no fraternities. Instead, the 33 students who have made the cut at Minerva, will travel the world and change the face of higher learning
The 10 best pedicure products

Feet treat: 10 best pedicure products

Bags packed and all prepped for holidays, but feet in a state? Get them flip-flop-ready with our pick of the items for a DIY treatment
Commonwealth Games 2014: Great Scots! Planes and pipers welcome in Glasgow's Games

Commonwealth Games 2014

Great Scots! Planes and pipers welcome in Glasgow's Games
Jack Pitt-Brooke: Manchester City and Patrick Vieira make the right stand on racism

Jack Pitt-Brooke

Manchester City and Patrick Vieira make the right stand on racism