Domino’s Pizza Inc DPZ shares are traded higher on Tuesday.On Monday, the pizza giant reported second-quarter revenue of $1.15 billion, beating the analyst consensus estimate of $1.14 billion.Revenues increased 4.3% year over year, primarily due to higher supply chain revenues, higher U.S. franchise royalties and fees, and higher U.S. franchise advertising revenues.Here are the key analysts’ reactions to the earnings report:RBC Capital Markets analyst Logan Reich reiterated the Outperform rating on Domino’s ...

Domino's Pizza TodayDPZDomino's Pizza$462.24 -3.71 (-0.80%) 52-Week Range$396.06▼$500.55Dividend Yield1.51%P/E Ratio26.50Price Target$487.84Add to WatchlistDomino’s (NASDAQ DPZ) FQ2 results were weak, underperforming reduced expectations, with growth slowing and earnings in contraction, but that is not what investors should focus on. Those negative details are short-lived headlines that do not offset the increase, profits, improved business leverage, and substantial capital return. Nevertheless, a knee-jer ...

Domino's Pizza restaurant showing company logo above entrance, a major pizza restaurant chain with over 15,000 locations in the United States and internationally.As the restaurant industry aims to lure frugal consumers with discounts and deals, Domino's Pizza thinks it can steal diners from its competitors."I think the industry headwinds are actually tailwind for us. Meaning, of course, they're headwinds, but we're going to gain [market] share during this time frame," CEO Russell Weiner told CNBC on Monday. ...

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, ...

Core Insights - Domino's Pizza, Inc. (DPZ) reported second-quarter fiscal 2025 results with earnings missing estimates but revenues exceeding expectations, leading to a 5.3% increase in shares during pre-market trading [1][3]. Revenue and Earnings - Adjusted earnings per share (EPS) for the quarter were $3.81, falling short of the Zacks Consensus Estimate of $3.93 and down 5.5% from $4.03 in the same quarter last year [3][9]. - Revenues reached $1,145.1 million, surpassing the consensus mark of $1,144 million, and increased by 4.3% year-over-year, driven by U.S. franchise advertising and higher supply-chain revenues [3][9]. Market Performance - The company experienced revenue growth due to gains in both delivery and carryout channels in the U.S., capturing additional market share in the competitive pizza quick-service restaurant segment [2]. - Global retail sales (excluding foreign currency impact) rose 5.6% year-over-year, with U.S. store sales increasing by 5.1% and international store sales by 6% [5]. Store Metrics - Domino's opened 178 net new stores during the second quarter [4]. - Comparable store sales (comps) in the U.S. rose 3.4% year-over-year, while international comps increased by 2.4% [5][6]. Margin Analysis - Gross margin expanded by 70 basis points year-over-year to 40.1%, although the gross margin for U.S. company-owned stores contracted by 200 basis points to 15.6% due to rising food costs and insurance expenses [7]. Financial Position - As of June 15, 2025, cash and cash equivalents stood at $272.9 million, up from $186.1 million at the end of 2024, while long-term debt remained stable at $3.83 billion [8]. - Capital expenditure for the quarter was $32.2 million, down from $43.7 million in the prior year, and the company repurchased 315,696 shares for $150 million [10]. Dividend Information - A cash dividend of $1.74 per share was declared, scheduled for payment on September 30, 2025, to shareholders of record as of September 15 [10].

Group 1: Market Overview - Pre-market futures indicate a positive start to the trading week, with the Dow up 70 points, S&P 500 up 10 points, Nasdaq up 25 points, and Russell 2000 up 13 points, although all indexes are off their all-time highs from earlier in the month [1] Group 2: Company Earnings - Cleveland-Cliffs (CLF) reported a loss of -$0.50 per share, better than the projected -$0.68, with revenues of $4.93 billion exceeding Zacks consensus by +0.62%, leading to a +4.5% increase in shares [2] - Domino's Pizza (DPZ) missed earnings expectations by -3% with earnings of $3.81 per share, marking its second miss in three quarters, but revenues of $1.15 billion were up +4.3% year over year, resulting in a +3% increase in pre-market trading [3] Group 3: Economic Indicators - The U.S. Leading Economic Indicators (LEI) report for June is expected to show a further decline to -0.2% from May's -0.1%, with most LEI numbers negative over the past six months, indicating potential recession signals [4][5] - Upcoming economic reports include Existing & New Home Sales, S&P flash Services and Manufacturing PMI, and Durable Goods Orders, with mixed expectations for these data points [7] Group 4: Future Earnings Expectations - Alphabet (GOOGL) is expected to see a +13.2% increase in earnings and +11.1% in overall revenues, while Tesla (TSLA) is projected to experience a -23.1% decline in earnings year over year and -11.9% in revenue [6]

Core Insights - Domino's Pizza reported revenue of $1.15 billion for the quarter ended June 2025, reflecting a year-over-year increase of 4.3% and a slight revenue surprise of +0.07% over the Zacks Consensus Estimate of $1.14 billion [1] - The company's EPS for the quarter was $3.81, down from $4.03 in the same quarter last year, resulting in an EPS surprise of -3.05% compared to the consensus estimate of $3.93 [1] Financial Performance Metrics - Same store sales growth for international stores was 2.4%, exceeding the seven-analyst average estimate of 1.9% [4] - Total store count reached 21,536, slightly below the seven-analyst average estimate of 21,539 [4] - U.S. franchise stores count was 6,803, surpassing the average estimate of 6,770 [4] - U.S. company-owned stores count was 258, lower than the average estimate of 295 [4] - International stores count was 14,475, in line with the average estimate of 14,474 [4] - Total U.S. stores count was 7,061, slightly below the average estimate of 7,065 [4] - Same store sales growth for U.S. franchise stores was 3.4%, matching the six-analyst average estimate [4] Revenue Breakdown - U.S. franchise advertising revenue was $132.2 million, exceeding the average estimate of $130.71 million, representing a year-over-year increase of +5.8% [4] - U.S. company-owned stores revenue was $92.46 million, below the average estimate of $95.89 million, with a year-over-year change of +0.2% [4] - Supply chain revenue was $687.06 million, slightly above the average estimate of $684.64 million, reflecting a year-over-year increase of +4.2% [4] - International franchise royalties and fees revenue was $77.16 million, surpassing the average estimate of $76.84 million, with a year-over-year change of +4.7% [4] - U.S. franchise royalties and fees revenue was $156.26 million, exceeding the average estimate of $155.85 million, representing a year-over-year increase of +5.9% [4] Stock Performance - Over the past month, shares of Domino's Pizza returned +4.2%, compared to the Zacks S&P 500 composite's +5.4% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [3]

Financial Data and Key Metrics Changes - Income from operations increased by 14.9% in Q2, excluding foreign currency impact, primarily due to higher US franchise royalties and fees, gross margin dollar growth within supply chain, and lower G&A expenses [15][17] - Global retail sales grew by 5.6% in Q2, with US retail sales increasing by 5.1%, driven by same-store sales and net store growth [17][19] - Same-store sales accelerated to 3.4% for the quarter, supported by the launch of Parmesan stuffed crust pizza [17][18] Business Line Data and Key Metrics Changes - Delivery business saw a positive growth of 1.5%, while carryout business grew by 5.8%, marking the highest average carryout orders in history [18][36] - The addition of Parmesan stuffed crust contributed to an average ticket increase of 1.4% due to its higher price point [18] Market Data and Key Metrics Changes - International retail sales grew by 6% in Q2, with same-store sales at 2.4%, driven by strong performance in Asia, particularly India, and the Americas [19][51] - The company added 30 net new stores in the US, bringing the total to 7,061 [18] Company Strategy and Development Direction - The company is focused on its "Hungry for More" strategy, emphasizing product innovation, value, and operational excellence to drive sales and market share [6][9] - The rollout of DoorDash is expected to significantly enhance sales in the second half of the year, with marketing efforts planned to increase awareness [11][35] - The company aims to maintain a strong franchisee network, with a focus on both large and small franchisees to ensure diverse operational strengths [92][96] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a challenging macro environment but expressed confidence in sustaining growth, citing strong franchisee economics and a robust advertising budget [15][21] - The company expects US same-store sales growth to be around 3% for the year, with potential for higher growth in the second half due to ongoing initiatives [21][32] Other Important Information - The company repurchased approximately 316,000 shares for a total of $150 million in Q2, with $614 million remaining on its share repurchase authorization [20] - Management highlighted the importance of maintaining competitive pricing strategies to drive value for customers while ensuring franchisee profitability [102][104] Q&A Session Summary Question: Acceleration in same-store sales and sustainability of growth - Management discussed the historical performance and competitive advantages that support confidence in sustaining 3% plus same-store sales growth despite market challenges [24][30] Question: US sales outlook for the back half of the year - Management reiterated confidence in initiatives like DoorDash and loyalty programs to drive sales growth in the second half [32][36] Question: Market share gains in international markets - Management highlighted strong performance in India and Canada, attributing success to the "Hungry for More" strategy [50][54] Question: International unit development and long-term growth - Management expressed confidence in significant growth plans for India and China, with expectations for continued expansion [57][60] Question: Margins and pricing strategy - Management emphasized a focus on driving profit dollars for franchisees while maintaining competitive pricing below inflation [99][104]

Financial Data and Key Metrics Changes - Income from operations increased by 14.9% in Q2, excluding foreign currency impact, primarily due to higher US franchise royalties and fees, gross margin dollar growth within supply chain, and lower G&A expenses [15][16] - Global retail sales grew by 5.6% in Q2, with US retail sales increasing by 5.1%, driven by same-store sales and net store growth [16][18] - Same-store sales accelerated to 3.4% for the quarter, supported by the launch of Parmesan stuffed crust pizza, which drove positive transaction counts [16][17] Business Line Data and Key Metrics Changes - Delivery business saw a positive growth of 1.5%, while carryout business experienced a significant increase of 5.8%, marking the highest average carryout orders in history [17][35] - The addition of stuffed crust pizza contributed to an average ticket increase, benefiting from a 1.4% pricing adjustment [17][116] Market Data and Key Metrics Changes - International retail sales grew by 6%, excluding foreign currency impact, driven by net store growth of 148 and same-store sales growth of 2.4% [18][21] - Strength was noted in Asia, particularly in India, and in the Americas region, driven by Canada and Mexico [18][51] Company Strategy and Development Direction - The company is focused on its "Hungry for More" strategy, emphasizing product innovation, value, and operational excellence to drive sales and market share [5][6][8] - The rollout of DoorDash is expected to be a significant driver for US comp sales in the second half of the year, with marketing efforts planned to increase awareness [11][34] - The company aims to maintain a strong franchisee network, with a focus on both larger and smaller franchisees to ensure diverse economic strength [92][96] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a challenging macro environment but expressed confidence in sustaining growth, citing strong franchisee economics and a robust advertising budget [15][19] - The company expects US comp sales to be around 3% for the year, with potential for higher growth in the second half due to ongoing initiatives [20][21] - International same-store sales growth is projected to be 1% to 2%, influenced by global macroeconomic uncertainties [21][66] Other Important Information - The company repurchased approximately 316,000 shares at an average price of $475, totaling $150 million in Q2, with $614 million remaining on the share repurchase authorization [19] - The launch of Parmesan stuffed crust pizza has been well-received, with customer feedback exceeding expectations, indicating a potential long-term market share catalyst [7][116] Q&A Session Summary Question: Concerns about sustaining 3% plus comp growth - Management highlighted the strength of their franchisee economics, supply chain pricing, and advertising budget as key factors that will help sustain growth beyond the current year [26][27] Question: Insights on US sales outlook for the second half - Management discussed ongoing initiatives like the "Best Deal Ever" promotion and the expected impact of DoorDash, indicating confidence in positive trends for both delivery and carryout [33][35] Question: Discussion on DoorDash as a growth vehicle - Management expressed optimism about DoorDash's potential, noting that it is expected to significantly contribute to sales growth in the coming years [39][43] Question: International market share gains - Management pointed to strong performance in India and Canada, emphasizing the successful adoption of the "Hungry for More" strategy across international markets [50][53] Question: International unit development and growth outlook - Management indicated confidence in significant growth in India and China, with plans for substantial store openings in those markets [58][60] Question: Insights on margins and pricing strategy - Management reiterated their commitment to driving profit dollars for franchisees while maintaining competitive pricing, which may be below inflation [102][105]

Financial Performance - Domino's Pizza shares surged after reporting better same-store sales growth than expected for the second quarter [1] Market Trends - The pizza chain reported better same-store sales growth than expected [1]