Finance
Domino's Pizza tops quarterly results estimates as US consumers seek value meals
Published by Global Banking and Finance Review
Posted on October 14, 2025
2 min readLast updated: January 21, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on October 14, 2025
2 min readLast updated: January 21, 2026
Domino's Pizza beats Q3 profit estimates with value meals as consumers face economic uncertainty. US sales rise 5.2%, driven by promotions.
(Reuters) -Domino's Pizza posted better-than-estimated profit and U.S. same-store sales for the third quarter on Tuesday, driven by promotions and new menu items as consumers tighten their budgets amid economic uncertainty.
The company's shares rose 2% in premarket trading. The results come at a time when persistent inflation, economic uncertainty and repeated menu price hikes have prompted consumers to prioritize value when dining out or ordering in.
To cater to the shift in consumer spending, Domino's revived its "Best Deal Ever" promotion on August 25, offering any-topping pizzas for $9.99. It also introduced other items such as the parmesan-stuffed-crust pizza.
Companies like PepsiCo have also responded by introducing smaller pack sizes for its salty snacks with more affordable pricing to cater to shoppers feeling the pinch, especially in lower-income households.
U.S. same-store sales for the world's largest pizza chain grew 5.2% during the quarter, compared with analysts' expectations of a 4.0% rise, according to data compiled by LSEG. Domino's also benefited from its delivery partnership with DoorDash in the country.
Domino's has been offering more deals under its rewards program as its goes up against rising competition from fast-food chains such as McDonald's and Burger King doubling down on steep discounts on select menu items to attract consumers.
Its quarterly earnings per share for the three months ended September 7 were $4.08, compared with the estimate of $3.97, helped by higher order volumes.
Quarterly international same-store sales growth of 1.7%, however, fell short of an estimated 1.9% rise, as the company faces choppy demand in some markets such as Japan and Australia. Geopolitical uncertainties were also taking a toll on some markets, executives had said earlier in the year.
Revenue for the third quarter rose 6.2% to $1.15 billion, while analysts estimated $1.14 billion.
U.S. company-owned store gross margin fell 0.5 percentage point from a year earlier, hurt by higher costs of some commodities such as cheese and pork.
(Reporting by Anshi Sancheti and Juveria Tabassum in Bengaluru; Editing by Leroy Leo and Shilpi Majumdar)
Inflation is the rate at which the general level of prices for goods and services rises, eroding purchasing power. It indicates how much more expensive a set of goods and services has become over a certain period.
Same-store sales measure the revenue generated by stores that have been open for at least one year. This metric helps assess the performance of existing stores without the impact of new openings.
A promotional strategy is a marketing approach that companies use to communicate with customers about their products or services, often involving discounts, special offers, or advertising campaigns to boost sales.
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