- Domino's Pizza FY11 result better than expected
- European operations improving, impacted by forex moves
- FY12 guidance suggests more solid growth
- Brokers lift forecasts, targets and ratings

By Chris Shaw

After guiding to a 15% increase in earnings for FY11, full year net profit for Domino's Pizza ((DMP)) came in at $21.4 million. This was a 20% increase from FY10; better than most in the market had expected.

Credit Suisse notes all result metrics were good, as Domino's reported a 51% increase in cash flow, the balance sheet has strengthened to a net cash position of around $12.5 million, return on capital increased 27% and European earnings appear to be delivering solid growth.