Domino's Pizza Reports Strong Earnings (DPZ)
Domino's Pizza (NYSE: DPZ) reported better than expected earnings this morning before the opening bell. Fourth quarter net income came in at $23.62 million or $0.41 per share compared to $11.03 million or $0.19 per share in the year ago period. On an adjusted basis, which excludes certain items and is comparable to analysts' estimates, EPS was $0.30 versus Wall Street estimates of $0.25.
Revenues for the quarter came in at $462.88 million compared to $428.17 in last year's corresponding quarter. This number was above Wall Street consensus estimates of $437.50 million. During the trading day, DPZ shares have surged nearly 4% higher to $13.25. This name has gained over 70% in the last six months, as a major turnaround appears to be underway at the company.
David Brandon, Domino's Chairman, said, "The bold steps we have been taking to re-ignite our domestic system helped us gain significant traction last year. We succeeded in our primary goal of growing traffic all four quarters of 2009. Traffic growth was the most significant in the fourth quarter; and this positive momentum has continued thus far in 2010, as sales and traffic have increased significantly since the launch of our new core pizza."
