Domino’s international same-store sales dip 0.4% in Q1
Sales in the US fell short of the group’s expectations.
Domino’s Pizza Inc. reported a dip in international same-store sales of 0.4% in the first quarter of 2026 compared to 3.7% growth in the same period last year.
The group’s revenues increased $38.5m, or 3.5%, in Q1 2026 compared to last year, primarily due to higher supply chain revenues and higher global franchise royalties and advertising revenues.
The increase in supply chain revenues was primarily attributable to an increase in the company's food basket pricing to stores, which increased 2.6% in the first quarter of 2026 as compared to the first quarter of 2025.
Higher order volumes also contributed to the increase in supply chain revenues. These increases were partially offset by a shift in the relative mix of products sold by the company. The increases in U.S. franchise royalties and advertising revenues were driven primarily by net store growth during the trailing four quarters and higher same-store sales.
Meanwhile, international franchise royalties increased primarily due to the positive impact of foreign currency exchange rates on international franchise royalty revenues of $3.6m, as well as net store growth during the trailing four quarters.
Net income decreased $9.8m, or 6.6%, in q1 2026 compared to the same period last year, primarily due to an unfavorable change of $30m in the pre-tax unrealised losses and gains associated with the remeasurement of the Company's investment in DPC Dash Ltd. This decrease was partially offset by higher income from operations.
“While we grew market share and orders in the first quarter in the U.S., sales fell below the high expectations we set for ourselves. We are committed to doing everything we can to deliver against those expectations for the rest of the year,” Russel Weiner, CEO of Domino’s Pizza Inc., said in a LinkedIn post.