Item 6. Selected Financial Data.

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Item 6. Selected Financial Data.

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The following selected financial data set forth should be read in conjunction with, and is qualified by reference to, Management’s Discussion and Analysis of Financial Condition and Results of Operations and the consolidated financial statements and related notes included in this Form 10-K. The selected financial data, with the exception of store counts and same store sales growth, has been derived from the audited consolidated financial statements of Domino’s Pizza, Inc. and subsidiaries. This historical data is not necessarily indicative of results to be expected for any future period.


	Fiscal year ended (5)
(dollars in millions, except per share data)	January 1, 2017			January 3, 2016 (3)			December 28, 2014			December 29, 2013			December 30, 2012 (4)
Income statement data:
Revenues:
Domestic Company-owned stores	$	439.0		$	396.9		$	348.5		$	337.4		$	323.7
Domestic franchise		312.3			272.8			230.2			212.4			195.0

Domestic stores		751.3			669.7			578.7			549.8			518.7
Supply chain		1,544.3			1,383.2			1,262.5			1,118.9			1,039.8
International franchise		177.0			163.6			152.6			133.6			120.0

Total revenues		2,472.6			2,216.5			1,993.8			1,802.2			1,678.4
Cost of sales		1,704.9			1,533.4			1,399.1			1,253.2			1,177.1

Operating margin		767.7			683.1			594.8			549.0			501.3
General and administrative expense		313.6			277.7			249.4			235.2			219.0

Income from operations		454.0			405.4			345.4			313.8			282.3
Interest income		0.7			0.3			0.1			0.2			0.3
Interest expense		(110.1	)		(99.5	)		(86.9	)		(88.9	)		(101.4	)

Income before provision for income taxes		344.7			306.2			258.6			225.1			181.2
Provision for income taxes		130.0			113.4			96.0			82.1			68.8

Net income	$	214.7		$	192.8		$	162.6		$	143.0		$	112.4

Earnings per share:
Common stock – basic	$	4.41		$	3.58		$	2.96		$	2.58		$	1.99
Common stock – diluted		4.30			3.47			2.86			2.48			1.91
Dividends declared per share	$	1.52		$	1.24		$	1.00		$	0.80		$	3.00

Balance sheet data (at end of period):
Cash and cash equivalents	$	42.8		$	133.4		$	30.9		$	14.4		$	54.8
Restricted cash and cash equivalents		126.5			180.9			121.0			125.5			60.0
Working capital (1)		(34.3	)		45.7			41.8			(28.5	)		16.8
Total assets		716.3			799.8			596.3			496.6			443.4
Total debt net of debt issuance cost		2,187.9			2,240.8			1,500.6			1,507.7			1,526.0
Total stockholders’ deficit		(1,883.1	)		(1,800.3	)		(1,219.5	)		(1,290.2	)		(1,335.5	)


	Fiscal year ended (5)
(dollars in millions)	January 1, 2017			January 3, 2016(3)			December 28, 2014			December 29, 2013			December 30, 2012 (4)
Other financial data:
Depreciation and amortization	$	38.1		$	32.4		$	35.8		$	25.8		$	23.2
Capital expenditures		61.5			62.4			71.8			40.4			29.3

Same store sales growth (2):
Domestic Company-owned stores		10.4	%		12.2	%		6.2	%		3.9	%		1.3	%
Domestic franchise stores		10.5	%		11.9	%		7.7	%		5.5	%		3.2	%

Domestic stores		10.5	%		12.0	%		7.5	%		5.4	%		3.1	%

International stores		6.3	%		7.8	%		6.9	%		6.2	%		5.2	%

Store counts (at end of period):
Domestic Company-owned stores		392			384			377			390			388
Domestic franchise stores		4,979			4,816			4,690			4,596			4,540

Domestic stores		5,371			5,200			5,067			4,986			4,928
International stores		8,440			7,330			6,562			5,900			5,327

Total stores		13,811			12,530			11,629			10,886			10,255

(1)	The working capital amounts exclude restricted cash amounts of $126.5 million in 2016, $180.9 million in 2015, $121.0 million in 2014, $125.5 million in 2013 and $60.0 million in 2012.

(2)

Same store sales growth is calculated including only sales from stores that also had sales in the comparable period of the prior year, but excluding sales from certain seasonal locations such as stadiums and concert arenas. International same store sales growth is calculated similarly to domestic same store sales growth. Changes in international same store sales are reported on a constant dollar basis which reflects changes in international local currency sales. The 53rd week in fiscal 2015 had no impact on reported same store sales growth amounts.

(3)

In connection with our 2015 Recapitalization, the Company issued $1.3 billion of fixed rate notes. A portion of the proceeds from the 2015 Recapitalization were used to make an optional prepayment of approximately $551.3 million in aggregate principal amount of the 2012 fixed rate notes, at par, pay scheduled principal catch-up amounts on the 2012 fixed rate notes, make an interest reserve deposit, pre-fund a portion of the principal and interest payable on the 2015 fixed rate notes and pay transaction fees and expenses. Additionally, as part of the 2015 Recapitalization, the Company’s Board of Directors authorized a share repurchase program to repurchase up to $800.0 million of the Company’s common stock. This share repurchase program replaced a previously existing $200.0 million share repurchase program. Refer to Note 4 of the financial statements for additional detail related to the 2015 Recapitalization.

(4)

In connection with our 2012 Recapitalization, the Company borrowed $1.575 billion of fixed rate notes and used a portion of the proceeds from the borrowings to repay in full the outstanding principal under the Company’s notes, pay accrued interest on the Company’s notes, pay transaction-related fees and expenses and fund a reserve account for the payment of interest on the 2012 fixed rate notes. Refer to Note 4 of the financial statements for additional detail related to the 2012 Recapitalization.

(5)	The 2015 fiscal year includes 53 weeks and the 2016, 2014, 2013, and 2012 fiscal years each include 52 weeks.

Previous: Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities. · Next: Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Item 6. Selected Financial Data.

Item 6. Selected Financial Data.

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