Consumer Discretionary

Customers are hungry for value, Domino’s says on a 1Q earnings call, including on third-party apps that tend to attract higher-income customers. Consumers are looking for special deals more than everyday low prices, executives say. The pizza giant says it intends to run a steady stream of deals this year to keep customers coming to its stores. Domino’s is up 6% in premarket trading.

Domino’s Pizza says its foreign business remains soft this year, with international same-store sales up 0.9% compared to last year. The Middle East and Europe continue to be challenged, Domino’s says. The chain says it continues to expect to achieve a 3% international same-store sales growth this year as other global markets deliver improving results.

Domino’s just introduced a New York-style pizza with a thinner crust than its traditional dough, helping to draw in a new customer, CEO Russell Weiner says in an interview. Some customers who wanted a foldable pizza slice with a different ratio of ingredients to dough are now giving Domino’s another look, he says. U.S. same-store sales increased 5.6% in 1Q.

The following is a summary of the Domino’s Pizza, Inc. (DPZ) Q1 2024 Earnings Call Transcript: Financial Performance: Domino’s reported a global retail sales growth of 7.3%, excluding foreign currency impact. There was a 7.8% increase in U.S. retail sales, and a 6.8% growth in international retail sales, excluding foreign currency. The company’s same-store sales saw a significant increase in the U.S. by 5.6% and abroad by 0.9%, excluding foreign currency impact. New store additions included 20 in the U.S. and 144 internationally. An increase of 19.4% in operating income was noted in Q1, considering the exclusion of foreign currency’s negative impact. Business Progress: Domino’s introduced their New York Style pizza in Q1 2024 and rolled out a series of product training sprints across 6,800 plus U.S. stores. Initiatives like ‘Emergency Pizza’, Carryout Special Boost Week, and a new loyalty program, Domino’s Rewards, significantly contributed to increasing U.S. same-store sales.