Latest news with #Russell Weiner
Yahoo
a day ago
- Business
- Yahoo
Domino's Beats on Same-Store Sales, Misses on EPS
Domino's Pizza (DPZ, Financials) topped expectations on same-store sales growth in the second quarter but missed analyst forecasts on earnings per share. Shares dipped about 1% Monday. U.S. same-store sales rose 3.4% from a year ago, while international sales increased 2.4%both ahead of Visible Alpha consensus. Revenue matched estimates at $1.15 billion, up 4% year over year. However, adjusted EPS dropped 5.5% to $3.81, slightly below expectations. CEO Russell Weiner said Domino's is now fully rolled out on the two largest aggregators, referencing new partnerships with DoorDash (DASH, Financials) and Uber Eats (UBER, Financials). The company ended its exclusive agreement with Uber in May and added stores to DoorDash earlier this year. Weiner pointed to Domino's supply chain, advertising scale, and loyalty program as competitive advantages, saying the company is well-positioned moving forward. This article first appeared on GuruFocus.
Yahoo
a day ago
- Business
- Yahoo
Domino's regains US sales momentum in Q2
This story was originally published on Restaurant Dive. To receive daily news and insights, subscribe to our free daily Restaurant Dive newsletter. Dive Brief: Domino's posted U.S. same-store sales growth of 3.4% in the U.S. during the second quarter, according to an earnings release. Both delivery and carryout sales grew during the quarter and the chain is now fully rolled out with DoorDash and Uber Eats, Domino's CEO Russell Weiner said in a statement. This momentum contrasts a same-store sales dip of 0.5% during the first quarter, which was driven by negative traffic and a slight decline in its sales mix. During that period, Domino's posted higher carryout sales that typically have a lower ticket than delivery, according to a Q1 2025 earnings call. Dive Insight: Domino's strong quarterly sales could indicate a return of positive momentum in the QSR pizza delivery segment. During the first quarter, all of the top three pizza delivery chains delivered negative same-store sales results. Domino's has several sales drivers in the works including the addition of its Parmesan Stuffed Crust pizza, growth in third-party aggregator marketplaces and ongoing value propositions and promotions. During a Monday call with investors, Weiner said the chain's rollout of DoorDash went 'extremely well' as Domino's learned from its previous launch of Uber Eats. The company completed its rollout with DoorDash nationwide by the end of the second quarter. Domino's is now beginning to market on the platform 'with investments coming on both sides.' The company expects sales from DoorDash to impact the second half of the year. Domino's U.S. same-store sales The pizza delivery chain recovered sales momentum in Q2 2025 after a dip in sales during Q1 2025. Delivery same-store sales also were up 1.5% during the quarter, CFO Sandeep Reddy said during the call. This reversed a trend of negative comps across several quarters in this channel. This sales momentum could grow more as Domino's gains additional market share on Uber Eats and DoorDash as awareness grows. 'We think we should have our fair share on these platforms and so that means we've got a lot to go on DoorDash, and we've got more to go on Uber,' Weiner said. 'We're going to continue to grow market share over the next few years, so that number is always going to increase. I don't think it's far-fetched to say that we should have the same or similar market share on aggregators as we do outside.' Weiner previously said the company believes that third-party delivery could become a $1 billion sales driver for the chain.
Fast Company
2 days ago
- Business
- Fast Company
Domino's Pizza Q2 sales exceeds estimates—thanks to new items
BY Domino's Pizza surpassed analysts' expectations for second-quarter U.S. same-store sales on Monday, driven by new items on the menu and promotions, amid persisting macroeconomic uncertainties, sending shares up about 5% in early trade. The world's largest pizza chain introduced items such as the parmesan-stuffed crust pizza to its list, and attracted value-conscious consumers through deals under its rewards program. These efforts helped offset the impact from U.S. President Donald Trump's fluctuating tariff policies and the resulting trade tensions. Consumer spending has declined in recent months due to rising inflation and uncertainty surrounding Trump's policies, prompting customers to seek value offerings rather than expensive dine-out options, which has benefited pizza chains like Domino's. 'In the U.S., both delivery and carry out grew, driving meaningful market share gains,' Domino's CEO Russell Weiner said. Domino's posted a 3.4% rise in same-store sales in the U.S. for the quarter ended June 15, exceeding analysts' average estimate of a 2.21% rise, according to data compiled by LSEG. That marked its first beat in five quarters. 'Domino's has a competitive advantage relative to peers in the sector from the discounts they offer that are difficult to match profitably,' said Northcoast Research analyst Jim Sanderson. The company's online sales grew, aided by discounts and its DoorDash partnership, which doubled third-party delivery sales to about 5%, according to M Science analyst Matt Goodman. Momentum from third-party aggregators and discounts will help drive Domino's sales ahead of peers, Sanderson added. International same-store sales grew 2.4%, also ahead of the estimate of 1.71% growth, while quarterly revenue rose 4.3% to $1.15 billion, in line with estimates. Domino's posted quarterly earnings per share of $3.81, compared with the estimate of $3.95. The company said price hikes on the ingredient packs supplied to outlets reduced the gross margin for its U.S. company-owned stores by 2%. —Neil J Kanatt and Waylon Cunningham, Reuters
Yahoo
2 days ago
- Business
- Yahoo
Domino's belated stuffed crust and delivery investments drive 3.4% sales growth
You can find original article here Nrn. Subscribe to our free daily Nrn newsletter. Domino's Pizza reported 3.4% same-store sales growth for the second quarter ended June 15 — its highest sales rate in a year — as the Ann Arbor, Mich.-based chain's "Hungry for More" strategy began to pay dividends. CEO Russell Weiner attributed the healthy quarterly performance to the successful launch of the company's first stuffed crust pizza and the expansion of delivery partnerships with Uber Eats and DoorDash. Domino's Pizza rolled out Parmesan stuffed crust pizza early in the second quarter, notably becoming the last major quick-service pizza chain to offer stuffed crust pizza, prompting Pizza Hut to call out its competitor for bandwagon innovation 30 years after Pizza Hut came out with stuffed crust. 'Customers love Parmesan stuffed crust pizza,' Weiner said during a call with investors on Monday. 'The early read shows that the addition of stuffed crust should be a market share catalyst for us over time, as this was a big reason why Domino's customers would go elsewhere in the past.' Domino's was also a late entrant into the delivery aggregation channel, as the company for years held out by only offering first-party delivery as a brand differentiator. The pizza chain first announced a brand-first partnership with Uber Eats in 2023, which expanded to DoorDash in April. Weiner mentioned that last quarter, both the delivery and carryout businesses were strong, while the company had previously relied on the carryout channel to drive revenue growth. 'The expectation is that our sales on DoorDash will build as awareness and marketing increases,' Weiner said. 'We're now fully rolled out on the two largest aggregators, and with the stuffed crust, we now have all the major crust types on our menu. We have never had this many tools at our disposal to capture market share. This will be how we drive best in class results and long-term value creation for our franchisees and shareholders.' Besides catching up to competitors with menu innovation and delivery partnerships, Domino's is focusing on its loyalty program, which was revamped in 2023, and continues to be a growth driver for the brand as membership increases. 'I expect Domino's Rewards to be a multi-year sales driver,' Weiner said. 'We have a strong slate of initiatives ready to go for the rest of the year, including our 'Best Deal Ever' promotion, which is currently running through early August. We will continue to give customers what they want, which is more value in an environment where they remain pressured.' For the second quarter ended June 15, Domino's net income declined 7.7% to $131.1 million, or $3.81 per share, compared to $142 million, or $4.03 a share, in the prior-year period. Revenues increased 4.3% to $1.15 billion, compared to $1.1 billion in the same quarter last year. Domino's opened 178 net new stores globally, for a total of 21,536 locations. Contact Joanna at Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
2 days ago
- Business
- Reuters
Domino's Pizza beats quarterly sales estimate on strong US demand
July 21 (Reuters) - Domino's Pizza (DPZ.O), opens new tab surpassed analysts' expectations for second-quarter U.S. same-store sales on Monday, driven by new items on the menu and promotions, amid persisting macroeconomic uncertainties, sending shares up about 5% in early trade. The world's largest pizza chain introduced items such as the parmesan-stuffed crust pizza to its list, and attracted value-conscious consumers through deals under its rewards program. These efforts helped offset the impact from U.S. President Donald Trump's fluctuating tariff policies and the resulting trade tensions. Consumer spending has declined in recent months due to rising inflation and uncertainty surrounding Trump's policies, prompting customers to seek value offerings rather than expensive dine-out options, which has benefited pizza chains like Domino's. "In the U.S., both delivery and carry out grew, driving meaningful market share gains," Domino's CEO Russell Weiner said. Domino's posted a 3.4% rise in same-store sales in the U.S. for the quarter ended June 15, exceeding analysts' average estimate of a 2.21% rise, according to data compiled by LSEG. That marked its first beat in five quarters. "Domino's has a competitive advantage relative to peers in the sector from the discounts they offer that are difficult to match profitably," said Northcoast Research analyst Jim Sanderson. The company's online sales grew, aided by discounts and its DoorDash DASH.O partnership, which doubled third-party delivery sales to about 5%, according to M Science analyst Matt Goodman. Momentum from third-party aggregators and discounts will help drive Domino's sales ahead of peers, Sanderson added. International same-store sales grew 2.4%, also ahead of the estimate of 1.71% growth, while quarterly revenue rose 4.3% to $1.15 billion, in line with estimates. Domino's posted quarterly earnings per share of $3.81, compared with the estimate of $3.95. The company said price hikes on the ingredient packs supplied to outlets reduced the gross margin for its U.S. company-owned stores by 2%.
