:max_bytes(150000):strip_icc()/GettyImages-1433433640-9b974b7b2fd041bda08fe23a6d4c0763.jpg "Gains for Domino's U.S. business are helping boost shares to their highest level in more than two years")
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- Shares of Domino's Pizza rose to their highest level in more than two years as the pizza chain reported better-than-expected same-store sales in the United States.
- The company raised its quarterly dividend by 25% to $1.51 per share.
- Domino's also announced an additional $1 billion stock buyback.
Domino's Pizza (DPZ) posted better-than-expected earnings on the strength of its U.S. business, raised its dividend, and added to its stock buyback program. Shares were up more than 6% to $462.54 as of 11:50 a.m. ET.
The pizza delivery chain reported fourth-quarter earnings per share (EPS) of $4.48, above expectations. Revenue rose 0.8% from a year ago to $1.4 billion, below estimates.
The company's same-store sales in the United States rose 2.8%, triple the increase a year ago and ahead of analysts' expectations. International store sales rose 0.1%.
CEO Russell Weiner said that Domino's “positive U.S. transactions and same-store sales growth in both our delivery and fulfillment channels” reflect the company's “strength and momentum.”
Domino's announced it will boost its quarterly dividend to $1.51 per share from $1.21, which will be paid on March 29 to shareholders of record on March 15.
The Board of Directors also authorized an additional $1 billion share repurchase on top of the remaining $141.3 million from the previous repurchase plan.
Domino's Pizza shares rose to their highest level since January 2022 following the news.
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