Saturday March 26, 2022, 12:49:49
By Mark Kalinowski
In some years, Domino’s U.S. updates its Technology Transaction Fee. This is the amount Domino’s domestic franchisees are charged for each digital transaction, and in 2021 it was raised to $0.275 per digital order. This was up from $0.260 per digital order in 2020 (a year-to-year increase of +1.5 cents per digital order). We estimate that this increase added about +12 cents to Domino’s 2021 EPS, which in total ending up amounting to $13.60.
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Tuesday March 1, 2022, 12:11:27
By Mark Kalinowski
Earlier today, Domino’s reported its Q4 earnings, and also announced a CEO transition. Regarding the fourth quarter, EPS reached $4.25, close to our $4.24 estimate and sell-side consensus (according to Consensus Metrix) of $4.28. But importantly, this includes the benefit of “a $34.3 million pre-tax unrealized gain on the Company’s investment in DPC Dash Ltd…. the Company’s master franchisee” for Domino’s China. On today’s call, the company indicated that this change accounted for +68 cents of Q4 EPS.
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Thursday October 14, 2021, 11:25:16
By Mark Kalinowski
Earlier today, Domino’s reported that its Q3 U.S. same-store sales declined by -1.9%. This was lapping a +17.5% figure from Q3 2020 — the best quarterly performance in this regard in over 20 years — but nevertheless the -1.9% was still a disappointment. It fell short of our +2.0% forecast and sell-side consensus (according to Consensus Metrix) of +1.6%. The -1.9% showing is the first negative same-store sales quarter for Domino’s U.S. since Q1 2011’s -1.4% (which lapped a +14.3% from Q1 2010).
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