Domino's Pizza® Announces First Quarter 2025 Financial Results

Core Insights - Domino's Pizza reported a global retail sales growth of 4.7% in Q1 2025, with U.S. same-store sales declining by 0.5% and international same-store sales growing by 3.7% [1][4] - The company's operational income decreased by 0.2%, but increased by 1.4% when excluding the negative impact of foreign currency exchange rates [1][5] - The CEO emphasized the effectiveness of the "Hungry for MORE" strategy in driving market share growth despite a challenging macroeconomic environment [2] Financial Performance - Total revenues for Q1 2025 were $1,112.1 million, a 2.5% increase from $1,084.6 million in Q1 2024 [5][30] - Net income rose to $149.7 million, an increase of 18.9% compared to $125.8 million in the same quarter of the previous year [5][30] - Diluted earnings per share increased to $4.33, up 20.9% from $3.58 in Q1 2024 [5][12] Store Operations - The company experienced a net store decline of 8, with 17 net openings in the U.S. and 25 closures internationally [1][5] - As of March 23, 2025, the total store count was 21,358, reflecting ongoing adjustments in the store portfolio [5][29] Cash Flow and Capital Expenditures - Net cash provided by operating activities increased to $179.1 million from $123.5 million year-over-year [5][32] - Capital expenditures decreased to $14.7 million from $20.2 million in the previous year, contributing to a free cash flow of $164.4 million, up from $103.3 million [5][12] Strategic Initiatives - The company continues to focus on enhancing its digital ordering platforms, which accounted for over 85% of U.S. retail sales in 2024 [23] - The board declared a quarterly dividend of $1.74 per share, payable on June 30, 2025, to shareholders of record as of June 13, 2025 [7]