Domino's Gears Up to Report Q4 Earnings: What's in Store?

Core Viewpoint - Domino's Pizza, Inc. is expected to report its fourth-quarter 2024 results on February 24, with earnings estimates showing a potential increase compared to the previous year [1][2]. Group 1: Earnings Estimates - The Zacks Consensus Estimate for earnings is $4.95 per share, reflecting a 10.5$1.48 billion, indicating a growth of 5.4% from the previous year [2]. - In the past 30 days, earnings estimates have been revised downward by 1.2% [2]. Group 2: Performance Drivers - The fourth-quarter results are likely to benefit from expansion efforts, same-store sales growth, and digital enhancements [3]. - The company's digital ordering system and the Hungry for MORE strategy are expected to contribute positively to performance [3]. - The Domino's Rewards program has been crucial in enhancing U.S. performance and customer engagement [3]. Group 3: Sales and Revenue Expectations - U.S. company-owned and franchise store same-store sales are predicted to grow by 4% year over year, with international comps expected to increase by 3% [4]. - Total U.S. store revenues are anticipated to grow by 7.4% to $482.7 million, while supply-chain revenues are likely to rise by 5$899.7 million [4]. Group 4: New Initiatives - The company has introduced a new Pinpoint Delivery service, allowing deliveries to specific locations based on PIN codes, enhancing customer convenience [5]. - This service includes features such as order tracking, anticipated arrival times, and SMS notifications, which are expected to support performance [5]. Group 5: Margin Expectations - The gross margin for the quarter is expected to be 40%, compared to 38.4% in the prior year [6]. Group 6: Earnings Prediction Model - The earnings prediction model indicates a likelihood of an earnings beat for Domino's, supported by a positive Earnings ESP of +0.24% and a Zacks Rank of 3 [7].