StockMarketWire.com - Pizza chain Domino's Pizza announced a £45 million share buyback programme after reporting a rise in annual profit as strength in its delivery business more than offset pandemic-led weakness in its collection business.

The company would purchase up to £45 million of shares of 25/48 pence each.

The company also set out a new plan to grow its delivery business, targeting medium-term total system sales of £1.6 billion to £1.9 billion, supported by the opening of 200 new stores.

For the year ended 27 December, pre-tax profit rose to £98.9 million from £75.1 million year-on-year as system sales rose 10.3% on a like-for-like basis.

The final dividend for 2020 proposed was 9.1p per share.

'Trading in the current financial year has started strongly with exceptional trading over the new year period as we recorded our highest ever sales week,' the company said.

'Our delivery business continues to perform very well, and collection remains at around 60% of 2019 levels,' it added.

Domino's Pizza would hold its 2021 AGM and issue a Q1 trading update on 22 April 2021.

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