Chicago: Domino’s Pizza Inc reported quarterly profit on Tuesday that topped the Street’s view, after its new US pizza recipe boosted sales at established restaurants.
Ann Arbor, Michigan-based Domino’s introduced its reformulated pizza in the United States in December to address concerns about its taste. The new pizza, which uses different cheese and has a more garlicky crust, has helped shares more than double since the beginning of December.
Net income rose to $24.5 million, or 41 cents per share, for the first quarter from $23.8 million, or 41 cents, in the year-earlier period, the company said on Tuesday.
Excluding a 6-cent per share gain related to paying down debt, Domino’s earned 35 cents per share — topping analysts’ expected profit of 33 cents per share, according to Thomson Reuters.
Total revenue jumped 18.4% to $381.1 million.
US sales at restaurants open at least one year were up 14.3%, while sales at established international restaurants rose 4.2%.
International sales account for nearly half of Domino’s overall retail sales. Domino’s has not changed its pizza recipe outside the United States.