Domino’s Pizza records 5.1% increase in revenue in Q3 2024

GLOBAL – Multinational pizza restaurant chain Domino’s Pizza has reported a 5.1% increase in total revenues in Q3 2024 to US$1.08 billion compared to US$1.027 billion recorded in Q3 2023.

The total global retail sales for Q3 2024 amounted to US$4.39 billion. Same-store sales for company-owned outlets increased by 3.1% while franchised outlets recorded a 3% increase in sales compared to the same quarter last year.

North American outlets recorded total sales of US$2.168 billion while international sales were US$2.224 billion for the reported quarter.

According to the pizza chain, the reported growth was primarily attributed to higher supply chain revenues, franchise advertising, and royalties.

In Q3 2024, Domino’s Pizza opened 24 new outlets in the US and 184 in its international locations. The pizza chain also reports closing 136 outlets in the reported quarter, which translates to a net growth of 72 outlets.

The net outlet growth brings Domino’s net store growth for the year ending September 2024 to 805.

Income from operations increased by 5% to US$198.8 million. If the effect of foreign currency exchange is not considered, the increase becomes 5.7%.

However, the restaurant chain reported a slight 0.5% decline in net income to US$146.9 million in the reported quarter, which was attributed to higher provisions for income taxes.

The effective tax rate witnessed a 20.4% rise, influenced by lower foreign tax credits and changes in the impact of excess tax benefits from equity-based compensation.

According to Domino’s, diluted earnings per share also increased slightly by 0.2% to US$4.19 in the reported quarter, which was aided by a lower weighted average diluted share count from share repurchases, despite the decrease in net income.

The company’s board of directors announced a dividend payment of US$1.51 per share, which will be paid in December 2024.

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

“In our international business, we are on track for our 31st consecutive year of same-store sales growth, demonstrating our sustained long-term track record of success.”

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