Domino’s Pizza Inc. (NASDAQ:DPZ) reported fourth-quarter results on Monday that topped revenue forecasts but narrowly missed earnings expectations, with shares climbing following the announcement.
The stock rose 6.4% after the release and gained 4.8% in premarket trading to $403.04, supported by stronger-than-expected U.S. same-store sales performance.
The pizza chain posted adjusted earnings per share of $5.35 for the quarter, slightly below analyst estimates of $5.39. Revenue came in at $1.54 billion, surpassing the $1.52 billion consensus forecast and increasing 6.4% from $1.44 billion recorded a year earlier.
U.S. same-store sales advanced 3.7% during the quarter, while international same-store sales rose 0.7% when excluding currency effects. Domino’s expanded its global footprint by adding a net 392 new stores during the period.
“In 2025 we demonstrated that when we execute our Hungry for MORE strategy it delivers MORE sales, MORE stores, and MORE profits,” said Chief Executive Officer Russell Weiner. “In our international business, we delivered a remarkable 32nd consecutive year of same-store sales growth.”
Operating income increased 8.0% year over year to $295.7 million, compared with $273.7 million in the fourth quarter of 2024. For full-year fiscal 2025, Domino’s reported U.S. same-store sales growth of 3.0% and international growth of 1.9%, alongside global net store expansion of 776 locations.
The company’s board approved a 15% increase in the quarterly dividend to $1.99 per share, payable on March 30, 2026, to shareholders on record as of March 13, 2026.
Supply chain gross margin improved slightly to 11.4% from 11.3%, while gross margin at U.S. company-owned stores declined to 10.1% from 15.5%, mainly due to higher insurance expenses and increased labor costs. Free cash flow for fiscal 2025 rose 31.2% to $671.5 million, up from $512.0 million in the previous year.