Earnings Domino's Pizza Q3 2024

Since we have opened an options position on DPZ ahead of its earnings, we bring you an overview of the most important information.

Domino’s Pizza Inc., a global pizza delivery company, has released its Form 10-Q for the third quarter of 2024. Below is an overview of the key points.

Financial Performance of Domino’s Pizza

• Total Revenue for Q3: Increased by 5.1% to $1,080.1 million

• Year-to-Date Revenue for Three Fiscal Quarters: Reached $3,262.5 million, up by 6.0% compared to last year

• Gross Profit: Rose to $423.7 million

• Net Income: Reported at $146.9 million, representing 13.6% of total revenue

Business Achievements of Domino’s Pizza

• Domino’s achieved revenue growth across all segments and geographic areas.

• U.S. Sales Growth: Domestic sales rose by 3.0% in Q3 due to increased sales volume.

• International Same-Store Sales Growth: Increased by 0.8%.

• New Store Openings: 411 new stores were opened globally in the first three quarters of 2024.

Strategic Actions of Domino’s Pizza

• The company continues to pursue its “Hungry for MORE” strategy, which focuses on driving sales growth, expanding store count, and enhancing profitability.

• Share Repurchase: Repurchased 443,302 shares for approximately $190 million in Q3.

• Dividend Announcement: A dividend of $1.51 per share is set for payment on December 27, 2024.

• Plans include focusing on technological innovations and optimizing operational efficiency.

Challenges and Risks for Domino’s Pizza

Domino’s outlined a comprehensive list of risks and challenges, including:

• Significant Debt Levels

• Impact of Credit Rating Downgrades

• Intense Competition

• Labor Shortages

• Commodity Price Fluctuations

• Advertising Effectiveness

• Supply Chain Disruptions

• Influence of Social Media

• Technological Changes

• International Operations Risks

• Franchisee Relationships

• Cost-Saving Strategies

• Economic Conditions

• Store Openings and Closures

• Health Epidemics

• Currency Exchange Rate Risk

• Income Tax Rate Changes

• Retention of Key Leadership

• Availability of Real Estate

• Legislative and Regulatory Changes

• Litigation

• Food Safety

• Cybersecurity and Data Breaches

• Environmental and Social Concerns

• Geopolitical Events

• Changes in Consumer Behavior and Accounting Standards