Domino’s Pizza, Inc., the world’s largest pizza company, reported impressive financial results for the first quarter of 2023, showcasing the resilience of its business model amid a challenging global economic climate. The financial results reflect a robust increase in sales growth and earnings per share (EPS). This could offer valuable insights for small business owners, particularly in the food and service industries.
According to the financial results, Domino’s global retail sales, excluding the negative impact of foreign currency, grew by 5.9% in Q1 2023. When adjusted for the impact of foreign currency, global retail sales still posted a healthy growth of 2.2% for the same period.
U.S. same-store sales saw a 3.6% increase in the first quarter, while international same-store sales, excluding the foreign currency impact, grew by 1.2%. The company also reported a net global store growth of 128 stores in the first quarter, comprising 22 net U.S. and 106 net international store openings. Despite closing 40 stores, the company opened 168 new stores in the first quarter of 2023.
Another positive aspect of the financial results was the significant increase in diluted EPS. For the first quarter of 2023, the diluted EPS was $2.93, marking a 17.2% increase over the same period in the previous year.
Following the end of Q1 2023, on April 25, the company’s Board of Directors declared a $1.21 per share quarterly dividend on its outstanding common stock for shareholders of record as of June 15, 2023. The dividends are scheduled to be paid on June 30, 2023.
Russell Weiner, Domino’s Chief Executive Officer, commented on the results: “As I reflect on the first quarter, I can’t help but be encouraged by the resilience of our business model and the competitive advantage our franchisees and team members bring to Domino’s Pizza.” He credited the company’s growth to its commitment to value and innovation and expressed optimism about the brand’s ongoing evolution from a U.S. delivery business to a global pizza company.
For small business owners, Domino’s strong Q1 results underscore the importance of resilience, innovation, and a commitment to value in driving growth. The company’s successful expansion strategy in the U.S. and internationally could serve as a model for businesses looking to scale.
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