📉 Domino's shares fall after weak Q4 results! 🍕
Shares of Domino's Pizza $DPZ fell more than 6 %as the pizza chain reported worse-than-expected fourth-quarter results. While the company posted year-over-year sales growth of 2,9 % to $1.44 billion, but analysts had expected a better performance. Same-store sales growth in the U.S. was only 0,4 % compared to the expected 1,72 %. Also, adjusted earnings per share (EPS) of $4.89 fell slightly short of expectations of $4.93.

Domino's Pizza is the world's largest pizza chain by sales. It operates in more than 90 countries and operates over 20 000 restaurants, most of which are operated by franchisees. In 2023 expanded its partnership with Uber Eatsto increase its access to new customers. Still, the company faces consumer pressures and strong competition in the fast food segment.

📊 Key Q4 2024 numbers:
International same-store growth: +2.7% (+1.63% expected)

Total sales: $1.44 billion ($1.48 billion expected)

Total store growth: +364 new stores in Q4, 775 for the full year

📉 Negative factors:
Decline in orders per delivery by 1,4 %as lower-income customers cut back on spending.

Weaker growth in the domestic market, where competition is pushing prices down.

Closure of 205 branches in Japan due to low profitability.

📈 Positive factors:
Growth in personal pickup orders by 3,2 %offsetting some of the decline in delivery.

Expansion in emerging markets - especially in China a India, where it is expected to open 300-350 new restaurants in the year 2025.

The partnership with Uber Eats - has brought 2,7% same-store sales growth in the US.

🔮 Expectations for 2025:
📊 Domino's expects modest improvement in the second half of 2025 as new initiatives take full effect:
New loyalty program 🎁
Upgrades to the e-store and mobile app 📲
Continued development of third-party delivery partnerships 🚗

Is anyone following this company? How do you like fast food companies like McDonalds $MCD or Starbucks $SBUX?