Results
Global retail sales growth (excluding foreign currency impact) of 3.2%
U.S. same store sales growth of 0.3%
International same store sales growth (excluding foreign currency impact) of 0.2%
Global net store growth of 175 stores, including 26 net store openings in the U.S. and 149 net store openings internationally
6Income from operations increased 8.3%; excluding the $0.2 million negative impact of foreign currency exchange rates on international franchise royalty revenues, income from operations increased 8.4%
Management commentary
“As I step into the CEO role, I am honored to lead Domino’s and build on the competitive advantages that have long set us apart: our iconic brand, best-in-class franchise system, global scale and proven operating capabilities,” said Joe Jordan, Domino’s Chief Executive Officer.
“Our opportunity now is to capitalize on those strengths by getting even closer to our customers, helping our franchisees grow their profitability and turning our best performance into our everyday performance.
By advancing winning ideas faster and executing them with greater clarity, speed and consistency, we can earn more occasions, continue gaining market share and create meaningful long-term value for shareholders.
Domino’s has always been at its best when we are a step ahead.
That mindset has helped us set the pace for the industry before, and it’s how we’ll push ourselves to do it again.
I believe our next chapter will be our strongest yet.”
Results
4Revenues increased $38.5 million, or 3.4%, in the third quarter of 2026 as compared to the third quarter of 2025, primarily due to higher supply chain revenues and higher global franchise royalty revenues.
The increase in supply chain revenues was primarily attributable to higher order volumes, as well as an increase in the Company’s food basket pricing to stores, which increased 2.2% in the third quarter of 2026 as compared to the third quarter of 2025.
U.S. and international franchise royalties and fees revenues increased primarily as a result of net store growth during the trailing four quarters.
These increases in revenues were partially offset by lower U.S. Company-owned store revenues as a result of the refranchising of certain U.S. Company-owned store markets in the second quarter of 2026.
8Supply chain gross margin increased 0.9 percentage points in the third quarter of 2026 as compared to the third quarter of 2025, primarily due to procurement productivity.
2Income from operations increased $18.6 million, or 8.3%, in the third quarter of 2026 as compared to the third quarter of 2025.
7Excluding the negative impact of foreign currency exchange rates on international franchise royalty revenues of $0.2 million, income from operations increased $18.8 million, or 8.4%, primarily due to the increases in U.S. and international franchise royalties and fees revenues and gross margin dollar growth within supply chain.
3Net income increased $12.9 million, or 9.2%, in the third quarter of 2026 as compared to the third quarter of 2025, primarily due to higher income from operations.
1Diluted EPS was $4.60 in the third quarter of 2026 as compared to $4.08 in the third quarter of 2025, representing a $0.52, or 12.7%, increase.
The increase in diluted EPS was driven by higher net income, as well as a lower weighted average diluted share count resulting from the Company’s share repurchases during the trailing four quarters.
Net cash provided by operating activities was $520.6 million in the three fiscal quarters of 2026 as compared to $552.3 million in the three fiscal quarters of 2025.
5The Company spent $60.8 million on capital expenditures in the three fiscal quarters of 2026 as compared to $56.7 million in the three fiscal quarters of 2025, resulting in free cash flow of $459.8 million in the three fiscal quarters of 2026 as compared to $495.6 million in the three fiscal quarters of 2025.
The decrease in free cash flow was a result of the timing and amount of payments for advertising activities and the negative impact of changes in operating assets and liabilities.
These decreases were partially offset by the increase in income from operations in the three fiscal quarters of 2026 (excluding the pre-tax realized gain on the sale of the Company’s fully depreciated corporate aircraft in the first quarter of 2026).
Capital return
Subsequent to the end of the third quarter of 2026, on October 6, 2026, the Company’s Board of Directors declared a $1.99 per share quarterly dividend on its outstanding common stock for shareholders of record as of December 15, 2026, to be paid on December 30, 2026.
During the third quarter of 2026, the Company repurchased and retired 216,282 shares of common stock for a total of $73.6 million.
During the three fiscal quarters of 2026, the Company repurchased and retired 848,503 shares of common stock for a total of $304.9 million.
As of September 6, 2026, the Company had a total remaining authorized amount for share repurchases of $1.15 billion.
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