Domino's Pizza drops, despite 3Q profit surprise

Filed under: Earnings reports, Domino's Pizza (DPZ), Options

The shares of Domino's Pizza (NYSE: DPZ) gapped sharply lower this morning, despite a stronger-than-expected third-quarter profit. Ahead of the bell, Domino's reported net income of $17.8 million, or 31 cents per share, for the quarter ended Sept. 6. Excluding a $14.3 million pretax gain, Domino's profit of 17 cents per share was two cents better than analysts expected.

However, revenue for the period tumbled 6.5% to $302.7 million, falling well short of consensus estimates for $308.9 million. Same-restaurant sales were flat in the U.S., although they were up 2.7% internationally. With top-line results softer than expected, the pizza chain cited lower interest expense and tighter cost controls for the robust bottom-line results.

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Domino's Pizza drops, despite 3Q profit surprise originally appeared on BloggingStocks on Tue, 13 Oct 2009 11:50:00 EST. Please see our terms for use of feeds.

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