UPDATE 3-Domino's revenue beats estimates as supply-chain business offsets weak demand

Domino's Pizza, Inc.

Domino's Pizza, Inc.

DPZ

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Adds shares in paragraph 5, details in paragraph 8 and 10

By Anuja Bharat Mistry and Shania S Thomas

- Domino's Pizza's DPZ.O quarterly revenue edged past Wall Street estimates on Monday as growth in its supply-chain business offset softer demand at its restaurants, where cautious consumers curbed discretionary spending.

The pizza chain operates a supply-chain business that manufactures and distributes ingredients, pizza dough and equipment to franchised and company-owned stores. Revenue rises when stores order more supplies or food prices increase.

The Ann Arbor, Michigan-based company's second-quarter revenue rose 4.3% to $1.19 billion, above estimates of $1.18 billion, helped by a 6.5% rise in quarterly supply-chain revenue to $731.7 million.

Supply-chain revenue rose on higher store order volumes and a 2.2% increase in food-basket pricing, reflecting modest ingredient inflation passed to franchisees.

Shares were up about 4% in early trading.

"I believe order growth is the most important driver of long-term success in our business," Domino's retiring CEO Russell Weiner said in a statement, adding that order volumes rose despite weak industry demand.

Same-store sales in the U.S., however, rose only 0.1% for the quarter ended June 14, short of analysts' estimates for a 0.62% rise, according to data compiled by LSEG.

Domino's, down about a third in value over 12 months, posted its slowest U.S. same-store sales growth in five quarters, though analysts said results beat the more pessimistic investor expectations.

"Positive transaction counts across both carryout and delivery are a bright spot, indicating the firm is still winning with consumers, albeit at lower check sizes," said Ari Felhandler, analyst at Morningstar.

The company postponed its second-quarter 2026 earnings call due to webcast provider technical difficulties.

Its international same-store sales posted a surprise fall of 0.1%, compared with estimates of a rise of 0.5%.

Domino's cost of sales rose 4.7% to $716.2 million from a year ago. Quarterly profit came in at $4.07 per share, below estimates of $4.17 per share.