News

Domino's doles out dividend after 90 quarters of global growth

July 21, 2016

Domino's pizza today reported Q2 results, including the company's 90th consecutive quarter of sales growth globally and its 21st in the United States. Domestic same-store sales grew 9.7 percent year over year, while international stores recorded a 7.1 percent increase.

The company also said that 244 new stores opened internationally in the second quarter, for a total of 1,011 new stores in the trailing four quarters.

Diluted earnings per share in Q2 grew 21 percent over the prior year, to 98 cents. The company paid $224.1 million to repurchase more than 1.8 million shares of common stock. Domino's board has announced that it will pay out a quarterly dividend of 38 cents per share on Sept. 30 to all shareholders of record on Sept. 15. 

"I am pleased with our impressive top- and bottom-line results during the second quarter, and the performance of our franchisees in the U.S.and across the globe," said Domino's President and CEO J. Patrick Doyle.

Revenues were up 12 percent compared with Q2 of 2015, due primarily to higher supply chain revenues from increased volumes and store growth. Increased domestic franchise and company-owned store revenues and higher international revenues, resulting from growth in same store sales and store count, also contributed to this increase.

The company reported a 7.3 percent increase in net income in Q2 compared with the same period in the previous year. This was attributed mostly to higher consolidated operating margins driven by higher sales and store growth. However, the company said that higher general and administrative expenses, as well as interest expense from its 2015 recapitalization, partially offset this increase.

Second quarter diluted EPS was 98 cents, vs. 81 cents during the same quarter last year. That's a 21 percent increase over over last year, which is attributed to the previously stated operating results, along with lower diluted share counts resulting from share repurchases in the past four quarters.