International growth: Domino's Pizza's overseas store count surpasses U.S. stores
Ann Arbor Township-based Domino's Pizza is growing overseas.
As of March 25, the company — which reported its first-quarter profit Tuesday — had 14 more international stores than U.S. stores for the first time in Domino's history.
Ann Arbor Township-based Domino's Pizza is expanding internationally.
AnnArbor.com file photo
The company had 4,912 international stores as of March 25, up from 4,835 locations on Jan. 1. In the U.S., there were 4,898 stores as of March 25, compared to 4,907 on Jan. 1.
Domino's CEO Patrick Doyle, during a conference call, said the opening of 77 international stores during the first quarter is "the best (Domino's has) ever done in the first quarter with the international business."
He called the growth an "incredible milestone" for the company.
He added: "The day when Domino's Pizza worldwide has 10,000 stores is not far off. It’s a milestone I look forward to celebrating soon."
Domino's also said Tuesday its first-quarter profit fell 24 percent, hurt by lower revenue and costs related to a debt recapitalization completed during the quarter.
Net income fell to $20.7 million, or 35 cents per share for the three months ended March 25. That is down from $27.1 million, or 43 cents per share, last year. The company said excluding costs related to completing a recapitalization of debt, its earnings amounted to 47 cents per share.
Revenue fell 1 percent to $384.6 million from $389.2 million last year. Revenue was down partly from lower volume due to lower order counts at the store level, Domino's said. That was because deals during the quarter focused on side items, designed to improve profitability.
Revenue in restaurants open at least one year rose 2 percent domestically and 4.7 percent abroad.
In the past few years, Domino's has reinvented its brand by rolling out several successful marketing campaigns and redesigning its pizza, helping to rake in $105.3 million in sales in its 2011 fiscal year. The 2011 sales marked a 19.8 percent increase over its 2010 fiscal year.
The company has continued to make series of menu changes, including introducing chicken products, adding artisan pizzas, redeveloping the cheesy bread and adding parmesan bread bites.
Founded in 1960, Domino's operates a network of 9,810 franchised and company-owned stores in the U.S. and 70 countries worldwide.
Lizzy Alfs is a business reporter for AnnArbor.com. Reach her at 734-623-2584 or email her at lizzyalfs@annarbor.com. Follow her on Twitter at http://twitter.com/lizzyalfs.
Comments
UlyssesWrong1
Wed, May 2, 2012 : 11:11 a.m.
Dominos, your pizza was delicious in the past, until around 2001. Now it's so bad you have an ad campaign that pokes fun at how everyone hates Dominos. I guess this means the USA noticed Dominos sucked, so they're selling it abroad, and having success it seems. Is it just me, or have the following brands of pizza become terrible in recent years: Dominos, Pizza Hut, Little Caesers. I can forgive Little Caesers since their pizza is only $5, but Dominos and Pizza Hut? Shame on you. At one time the three were great, but now? I'd rather eat Backroom Pizza in downtown Ann Arbor which is some of the cheapest nastiest pizza you can get for $1 a slice than either of those 3. Sincerely, Fat Man Who Loves Pizza P.S. Domino's and Pizza Hut's non-pizza food (sandwiches, wings, pasta, etc) is great still.
jns131
Wed, May 2, 2012 : 2:31 p.m.
The best pizza by far is Wal Mart and Digorno. Otherwise, I stay away from cardboard take out places. Most are just bland and gross. Pizza Hut and Dominoes I still wonder if they go hand in hand with number one gross.
Hmm
Wed, May 2, 2012 : 12:47 p.m.
Concur on Pizza Hut pizza, it's really really bad now. I'm not a fat guy, but I can enjoy a good pizza too!
Jojo B
Wed, May 2, 2012 : 3:13 a.m.
Why all the negative Domino's comments? Thanks to the new improved formula, their pizza has enough cardboard consistency to be recycled with other paper products, rather than being sent to a landfill to give desperate seagulls indigestion.
jns131
Wed, May 2, 2012 : 11:49 p.m.
Do you know if they added that pink meat junk in it to make it that way?
Really?
Tue, May 1, 2012 : 9:37 p.m.
So foreigners like crappy pizza more than Americans. Now they have 14 more places to eat it.
jns131
Wed, May 2, 2012 : 12:16 a.m.
I could not agree more. Dominoes is gross pizza thru and thru.
tdw
Tue, May 1, 2012 : 8:12 p.m.
Thanks Dog Guy.....you just made me waste 5 min of my life.It appears that they are on a few U.S military bases
Robo
Tue, May 1, 2012 : 8:21 p.m.
our poor service men and women...
Dog Guy
Tue, May 1, 2012 : 5:36 p.m.
Are there any Domino's Pizza stores in Italy?
jns131
Wed, May 2, 2012 : 12:15 a.m.
This is not Italian food if they are over there. If they think this is American? OK.