Domino’s Pizza Q3 Revenue Falls Short of Estimates, Earnings Exceed Expectations

Domino’s Pizza Inc. reported third-quarter earnings that exceeded analyst expectations, though revenue fell short, leading to a 1.3% decline in shares during early trading.

The world’s largest pizza chain announced adjusted earnings per share of $4.19, exceeding the analyst consensus of $3.63. However, revenue reached $1.08 billion, which was below the expected $1.1 billion.

Global retail sales experienced a 5.1% increase year-over-year, excluding foreign currency effects. In the U.S., same-store sales rose by 3.0%, while international same-store sales grew by 0.8%, excluding currency influences.

“Our third-quarter results once again demonstrated that our Hungry for MORE strategy is resonating, despite a pressured global marketplace,” stated Russell Weiner, Domino’s CEO.

The company reported a net growth of 72 store locations globally during the quarter. Income from operations grew by 5.0%, or 5.7%, when adjusting for the $1.4 million negative impact of foreign currency exchange on international franchise royalty revenues.

Domino’s has maintained its guidance for 2024, anticipating approximately 6% annual global retail sales growth and an 8% increase in income from operations. The company also forecasts global net store growth of 800 to 850 locations for the year.

Looking ahead to 2025, Domino’s expects its annual global retail sales growth and income from operations growth to remain generally consistent with its 2024 projections.