BREAKING: $1b wiped off Domino’s shares in minutes

Shares in Domino’s Pizza have plunged more than 20 per cent after the company revealed it failed to meet its own earnings guidance and that sales growth was slipping across its network.

The stock closed at $51.11 a share on Monday and had fallen to $40.28 within in the first minutes of trade on Tuesday, wiping almost $1 billion from the company’s market capitalisation.

Domino’s revealed before the market opened its underlying net profit after tax for the 12 months to June 30 was $118.5 million, a 28.8 per cent increase on the same period a year earlier, but short of the 32.5 per cent growth it told investors it would achieve when it released its half-year results in February.

Domino’s had predicted same-store sales in its Australian and New Zealand network would grow between 14 and 16 per cent, but revealed on Tuesday they only grew 13.6 per cent and had slipped to 10 per cent for the second half of the financial year…

Source: Domino’s shares plunge after falling short of guidance