U.S. markets closed
  • S&P 500

    3,298.46
    +51.87 (+1.60%)
     
  • Dow 30

    27,173.96
    +358.56 (+1.34%)
     
  • Nasdaq

    10,913.56
    +241.26 (+2.26%)
     
  • Russell 2000

    1,474.91
    +23.09 (+1.59%)
     
  • Crude Oil

    40.04
    -0.27 (-0.67%)
     
  • Gold

    1,864.30
    -12.60 (-0.67%)
     
  • Silver

    22.99
    -0.21 (-0.91%)
     
  • EUR/USD

    1.1637
    -0.0038 (-0.33%)
     
  • 10-Yr Bond

    0.6590
    -0.0070 (-1.05%)
     
  • GBP/USD

    1.2744
    -0.0007 (-0.06%)
     
  • USD/JPY

    105.5000
    +0.0980 (+0.09%)
     
  • BTC-USD

    10,671.42
    -63.94 (-0.60%)
     
  • CMC Crypto 200

    230.19
    +12.36 (+5.67%)
     
  • FTSE 100

    5,842.67
    +19.89 (+0.34%)
     
  • Nikkei 225

    23,204.62
    +116.82 (+0.51%)
     

Domino's U.S. same-store sales rise 16% on pizza demand during pandemic

A Domino's Pizza sign hangs in a restaurant in Los Angeles
A Domino's Pizza sign hangs in a restaurant in Los Angeles

(Reuters) - Domino's Pizza Inc on Thursday beat Wall Street estimates for quarterly same-restaurant sales and profit, as diners ordered in more pies since dine-in options were limited due to lockdowns triggered by the COVID-19 pandemic.

The pizza chain's shares, that have risen about 41% this year so far, were up about 1.5% before the bell.

The health crisis has nearly decimated the food industry as rising number of cases and stay-at-home orders have forced restaurants to shut dine-in options and layoff thousands of employees in an effort to reduce costs.

Domino's is one of the few restaurant chains to see a boost in sales as consumers sought the comfort of pizzas and relied on their fast delivery. Second quarter U.S. same-store sales surged 16.1%, beating analysts' estimates of 10.67%.

The world's largest pizza company said consumers' ordering behavior during the pandemic led to the sharp rise in numbers.

Domino's also introduced a new contactless carside delivery option for carryout orders, which allow diners to choose where they would like their order placed – the passenger side, back seat or the trunk of their car.

'Drive-thru' has been a major hit for other fast-food chains as well, such as McDonald's and Burger King.

Several casual restaurants in the country are now pivoting to a delivery model to keep their business running amid uncertainties.

For Domino's, total revenue rose 13.4% to $920 million in the quarter ended June 14 from a year earlier, above the expectation of $911.5 million, according to IBES data from Refinitiv.

Net income rose 28.5% to $118.7 million. On a per share basis, the company earned $2.99, beating the estimate by 75 cents.

International same-store sales rose 1.3%, and beat estimates of 0.65%.

Separately, the company also said Chief Financial Officer Jeffrey Lawrence would retire after more than 20 years of service.



(Reporting by Nivedita Balu in Bengaluru; Editing by Shinjini Ganguli and Rashmi Aich)