- Domino’s Pizza reported domestic stores comparable sales growth of 3%, falling short of the expected 3.55%.
- The domestic franchise and co-owned comparable sales growth was also 3% and 3.1%, respectively, missing their estimates of 3.55% and 3.52%.
- Revenue amounted to $1.08 billion, marking a 5.1% increase year-over-year, but below the estimated $1.1 billion.
- International comparable sales grew by 0.8%, significantly less than the anticipated 2.84% growth.
- Domino’s reported earnings per share (EPS) of $4.19, slightly above the previous year’s $4.18 and higher than the estimated $3.65.
- The net addition of stores was 72, representing a 59% decrease quarter-over-quarter, and missing the estimate of 181.51.
- Income from operations reached $198.8 million, a 5% increase year-over-year, but below the target of $199.8 million.
- The company anticipates full-year global retail sales growth of approximately 6%.
- Projected full-year income from operations is expected to grow by about 8%.
- Domino’s forecasts a global net store growth between 800 to 850 for the fiscal year.
- For 2025, the company expects annual global retail sales growth and income from operations growth to be generally consistent with its 2024 projections.
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Domino’s Pizza on Smartkarma
Analysts on Smartkarma, such as Baptista Research, have been closely covering Domino’s Pizza Inc. and providing valuable insights for investors. In their research report titled “Domino’s Pizza Inc.: Is The Efficient Store Splitting Strategy Paying Off? – Major Drivers,” Baptista Research highlighted key developments from Domino’s Q2 2024 earnings. The report indicates a mix of encouraging and concerning factors for investors. Domino’s Hungry for MORE strategy appears to be yielding positive results, with consecutive-quarter growth in US comp performance driven by profitable order count growth across delivery and carryout businesses. International comps also improved, aligning with earnings expectations.
In another report by Baptista Research, “Domino’s Pizza Inc.: How Are Their Franchisee and Market Pricing Strategies Evolving? – Major Drivers,” the focus was on Domino’s first quarter 2024 results. The report underscores a robust performance, particularly in U.S. sales with significant growth in carryout and lower-income segments. Notably, the company saw a 5.6% increase in U.S. same-store sales driven by transaction growth attributed to loyalty program enhancements. While domestic performance was strong, international sales showed softer growth. These insights from independent analysts contribute to a comprehensive understanding of Domino’s Pizza‘s market strategies and financial performance.
A look at Domino’s Pizza Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 0 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 5 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Domino’s Pizza, Inc., known for its wide network of Company-owned and franchise stores globally, forecasts a positive long-term outlook according to Smartkarma Smart Scores. Garnering a resilience score of 5, the company demonstrates strength in navigating challenges and maintaining stability over time. Additionally, with a growth score of 4, Domino’s Pizza is positioned favorably for expanding its market presence and enhancing its business operations.
While the value score stands at 0, indicating less attractiveness in terms of valuation, the company’s dividend score of 3 suggests a moderate level of dividend performance. Momentum, scoring a 3, implies that Domino’s Pizza is holding steady with its current market trends. Overall, Domino’s Pizza appears to have a solid foundation for future growth and sustainability in the competitive pizza delivery industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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