Domino’s Pizza posts double-digit profit growth, driven by US market

(Source: Domino's Pizza/Facebook)

Domino’s Pizza has reported growths in both revenues and profit for the first quarter of FY24, driven by improvements in the US market.

The company’s revenues increased 5.9 per cent year on year to $1.084 billion, primarily due to higher supply chain revenues and US franchise royalties and fees, as well as higher US company-owned store revenues.

Global retail sales rose 7.3 per cent to $4.3 billion, including a 7.8 per cent sales growth of US stores and 6.8 per cent increase of international stores.

Within the US market, same store sales grew 5.6 per cent, including a 8.5 per cent increase of company-owned stores and 5.5 per cent improvement of franchise stores. International same store sales were flat, up only 0.9 per cent.

On the bottom line, net income jumped 20.1 per cent to $125.8 million.

“Our growth in the US came through positive order counts in both our carryout and delivery businesses for the second quarter in a row,” said Russell Weiner, Domino’s CEO. “Further, this order growth was across all income cohorts.”

“In Q1 we also went live with marketing on Uber Eats, and we remain on track to exit the year at 3 per cent or more of sales coming through this new channel,” Weiner added.

For the full year, the company expects a 7+ per cent increase in global retail sales and more than 1100 global net store growth.

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