Domino’s Pizza Shares Drop 11% on Weak Profit and …

From Financial Modeling Prep: 2025-02-25 02:01:24

Domino’s Pizza Enterprises (NYSE: DPZ) saw shares drop by over 11% after missing earnings expectations and reporting a slowdown in same-store sales growth. The stock is now trading at A$28.8, down 10.7%, making it a top loser on the ASX200 index.

For the first seven weeks of 2025, Domino’s reported a 1.5% same-store sales growth, down from 4.3% due to Lunar New Year demand. Revenue declined in key markets, with Asia seeing a 7.1% drop to A$402 million.

Analysts noted that the sales growth miss signals slower consumer demand, impacting Domino’s profitability. Challenges in key markets like Asia, where geopolitical tensions and brand perception issues have hurt sales, continue to pose obstacles.

Despite facing setbacks, Domino’s maintained an interim dividend of 55.5 Australian cents per share, showing stability in its financial health. Investors can assess the company’s financial risk and profitability through tools like the Company Rating API and Owner Earnings API.

Looking ahead to 2025, Domino’s faces competition, shifting consumer spending, and cost pressures. However, its consistent dividend payout reflects management’s confidence in long-term stability. Investors will monitor future earnings and financial metrics for insights into profitability and store growth trends.



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