News

Domino's US same-store sales up just 3%, misses estimates

July 16, 2019

The world's biggest-selling pizza brand was watching its stock value drop at the time of this writing after reporting its Q2 U.S. same-store sales failed to hit analysts' predictions of 4.6% sales growth, pushing up just 3% year-over-year for the period instead. International same-store sales lifted 2.4% during the quarter, which was also slightly lower than estimates. The company did chalk up 200 net new stores, including 42 in the U.S. and 158 internationally.

Second quarter diluted EPS was up 23% over the prior year quarter to $2.19 or 19% over the prior year quarter diluted EPS, as adjusted, according to a news release. The company's board also declared a $0.65 per share quarterly dividend for shareholders of record as of Sept. 13, 2019 to be paid on Sept. 30.

"It was a good second quarter, particularly for global unit growth, as we continue to seek balanced retail sales growth through the blend of same store sales and store growth," Domino's CEO Ritch Allison, said in the release. "As a work-in-progress brand, we are constantly striving to improve in needed areas, execute our long-term strategy and build toward Dominant No. 1 — a goal I continue to feel we are built to achieve."

Other key financials for the quarter include:

• 5.1% growth in global retail sales. 
• 4.1% or $32.2 million increase in revenues.
• 19.3% or $15 million growth in net income.
• 23% increase in diluted EPS over last year's quarter to $2.19.