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Domino’s Tops U.S. Sales Forecasts, Lifts Dividend After Strong Q4

Management credits value promotions alongside new menu items for the traffic uptick.

Overview

  • U.S. same‑store sales rose 3.7% in Q4 2025, beating estimates, as revenue reached about $1.54 billion and adjusted EPS came in at $5.35, a hair below consensus.
  • Domino’s raised its quarterly dividend roughly 15% to $1.99 per share, and the stock jumped as much as about 6% at Monday’s open following the report.
  • Executives cited the $9.99 “Best Deal Ever” and successful launches like Parmesan Stuffed Crust, plus expanded reach through DoorDash, as key drivers of traffic and a roughly one‑point U.S. market‑share gain in 2025.
  • The company added 392 net new stores in Q4 and 776 for the year, but international same‑store sales grew just 0.7% with pressure in markets tied to Domino’s Pizza Enterprises, including Australia and Japan.
  • U.S. company‑owned store gross margin compressed by 540 basis points to 15.5% on higher insurance, labor and food costs, while 2026 plans call for about 3% U.S. comp growth, continued expansion, modest margin improvement and a new $0.01 per‑transaction technology fee to fund platform investments.