Domino’s Pizza reported a third-quarter (Q3) net income of $147.67 million for fiscal year (FY) 2023, marking a significant 46.9% growth compared to the $100.50 million earned during the same period in the previous year.
The rise in net income was attributed by the restaurant company to a $28.23 million pre-tax unrealized gain resulting from the revaluation of its investment in DPC Dash.
For the quarter concluding on October 10, 2023, the revenues declined by 3.9% to $1.02 billion, down from $1.06 billion in the third quarter of the previous year.
The company explained that the decrease in revenues was primarily a result of reduced supply chain income and diminished revenues from company-owned stores in the United States.
Operating income in the third quarter of 2023 rose by $13 million (a 7.4% increase) compared to the third quarter of the previous year, driven by elevated global franchise royalty revenues.
In the most recent quarter, diluted earnings per share (EPS) reached $4.18, marking a substantial 49.8% surge from the $2.79 reported during the corresponding period of the previous year.
In the latest quarter, Domino’s global retail sales were up 4.9%, excluding the positive impact of foreign currency and an increase of 5.1% was recorded without including the positive impact of foreign currency and the closure of the Russian market.
In Q3 2023, US same-store sales were down by 0.6%. However, international same-store sales grew by 3.3% in the period.
During the same quarter, the company had 218 gross store openings and 226 gross store closures.
Domino’s Pizza’s CEO Russell Weiner said, “We continue to execute on our initiatives to drive sustainable growth in the US.
“Our ‘Summer of Service’ initiative and the hard work of our franchisees and team members have brought delivery times back to pre-pandemic levels.
“Domino’s Rewards is engaging more customers, and our integration with Uber’s marketplace is on track. We are ready and excited to deliver the incremental orders both programs will bring in 2024 and beyond.”
For three-quarters of FY23, the company posted a net income of $361.82m against $293.96m in the same period last year. The total revenues for the three quarters of 2023 were $3.07bn against $3.14bn in the corresponding period in 2022.