Domino's Pizza Inc. said its U.S. sales continued to push higher
in the second quarter as the pizza chain opened more stores, though
its international growth was dented in part by foreign-currency
impacts.
Separately, Domino's said Thursday that Chief Financial Officer
Michael Lawton, 56 years old, will retire at the end of August
after 16 years with the company. He will be replaced by Jeffrey
Lawrence, the company's treasurer.
Domino's has posted strong results in recent years after
reworking its pizza recipe with thicker crust and a new mix of
cheeses in a bid to combat the perception that its pies weren't as
tasty as competitors.
In the second quarter, sales at outlets open at least a year
rose 12.8% in the U.S., compared with 5.4% growth in the prior-year
period.
International same-store sales rose 6.7%, though Domino's said
the growth was offset in part by foreign-currency impacts.
Domino's has pushed to grow its business overseas. In India, for
example, Domino's is one of the largest foreign-food chains,
working to stay on top by introducing products like spicy banana
pizza for local palates.
The company added 186 stores world-wide in the latest
quarter.
Overall, Domino's reported a profit of $45.9 million, or 81
cents a share, up from $38.5 million, or 67 cents a share, a year
earlier.
Revenue grew 8.5% to $488.6 million on higher royalties from
franchisees, higher supply-chain revenues and increased sales of
equipment to stores.
Analysts polled by Thomson Reuters had forecast earnings of 79
cents a share on revenue of $489.1 million.
Domino's shares have added 26% this year through Wednesday's
close.
Write to Chelsey Dulaney at Chelsey.Dulaney@wsj.com
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