The chief executive of Domino’s Pizza has quit the company after just two years after presiding over a halving in the firm’s stock price over the past twelve months.
Andrew Rennie, who joined the firm’s board in 2023, is to depart with immediate effect, with chief operating officer Nicola Frampton serving as interim chief executive until a permanent replacement is found.
The departure creates more uncertainty at the top of the pizza chain, which will also have an interim chief finance officer before the arrival of former Marston’s boss Andy Andrea.
Rennie previously outlined a vision for Domino’s to acquire a second fast-food brand to turbocharge the company’s growth.
Domino’s has today said that strategy has now been put on hold until a permanent new CEO is in place, adding that it “intends to review its capital allocation priorities” after the arrival of Andrea.
“The Board believes that there are a number of opportunities to drive further growth and value creation in Domino’s core business,” said chair Ian Bull.
In its latest trading update earlier this month, Domino’s said it saw a 2.1 per cent rise in sales in the third quarter, but that orders for deliveries were down 3.4 per cent after being “impacted by weaker consumer sentiment.”
Domino’s shares rose 0.6 per cent to 172p in early trade on Tuesday.
Domino’s stock shorted
Last month, Domino’s Pizza became the UK’s most shorted public company despite the beleaguered franchise having launched a major buyback to prop up its share price last month.
The FTSE 250 constituent’s shares are already languishing at a 10-year low as the firm battles to fend off a litany of headwinds including rising labour costs and anaemic consumer confidence.
Financial Conduct Authority data showed big-name hedge funds were betting against it more than any other stock on London’s main market.
Investment juggernaut Blackrock, Ken Griffin’s Citadel and Marshall Wace – the British hedge fund run by GB News proprietor Paul Marshall – were among 10 investment firms to have disclosed major short positions in excess of 0.5 per cent of Domino’s market capitalisation.
This month, Domino’s has slipped down the ranks and has been replaced by Greggs as the most-shorted stock.