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, global retail sales growth 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 (8)
(dollars in millions, except per share data)
December 29, 2019
December 30, 2018 (4)
December 31, 2017
January 1, 2017
January 3, 2016
Income statement data:
Revenues:
U.S. Company-owned stores
$
453.6
$
514.8
$
490.8
$
439.0
$
396.9
U.S. franchise royalties and fees
428.5
391.5
351.4
312.3
272.8
U.S. franchise advertising (1)
390.8
358.5
—
—
—
U.S. stores
1,272.9
1,264.8
842.2
751.3
669.7
Supply chain
2,104.9
1,943.3
1,739.0
1,544.3
1,383.2
International franchise royalties and fees
241.0
224.7
206.7
177.0
163.6
Total revenues
3,618.8
3,432.9
2,788.0
2,472.6
2,216.5
Cost of sales
2,216.3
2,130.2
1,922.0
1,704.9
1,533.4
Operating margin
1,402.5
1,302.7
866.0
767.7
683.1
General and administrative expense
382.3
372.5
344.8
313.6
277.7
U.S. franchise advertising (1)
390.8
358.5
—
—
—
Income from operations
629.4
571.7
521.2
454.0
405.4
Interest income
4.0
3.3
1.5
0.7
0.3
Interest expense
(150.8
)
(146.3
)
(122.5
)
(110.1
)
(99.5
)
Income before provision for income taxes
482.6
428.7
400.2
344.7
306.2
Provision for income taxes
81.9
66.7
122.2
130.0
113.4
Net income
$
400.7
$
362.0
$
277.9
$
214.7
$
192.8
Earnings per share:
Common stock – basic
$
9.83
$
8.65
$
6.05
$
4.41
$
3.58
Common stock – diluted
9.56
8.35
5.83
4.30
3.47
Balance sheet data (at end of period):
Cash and cash equivalents
$
190.6
$
25.4
$
35.8
$
42.8
$
133.4
Restricted cash and cash equivalents
209.3
167.0
191.8
126.5
180.9
Cash and cash equivalents included in advertising fund assets, restricted
84.0
45.0
27.3
25.1
19.9
Working capital (2)
121.0
14.6
(10.3
)
(34.3
)
45.7
Total assets (3)
1,382.1
907.4
836.8
716.3
799.8
Total debt net of debt issuance cost
4,114.4
3,531.6
3,153.8
2,187.9
2,240.8
Total stockholders’ deficit
(3,415.8
)
(3,039.9
)
(2,735.4
)
(1,883.1
)
(1,800.3
)
Fiscal year ended (8)
(dollars in millions, except per share data)
December 29, 2019
December 30, 2018 (4)
December 31, 2017
January 1, 2017
January 3, 2016
Other financial data:
Depreciation and amortization
$
59.9
$
53.7
$
44.4
$
38.1
$
32.4
Capital expenditures (5)
$
88.7
$
119.7
$
90.3
$
61.5
$
62.4
Dividends declared per share
$
2.60
$
2.20
$
1.84
$
1.52
$
1.24
Global retail sales growth (versus prior year period, excluding foreign currency impact) (6)
8.0
%
10.8
%
13.0
%
12.8
%
18.6
%
Same store sales growth (7):
U.S. Company-owned stores
2.8
%
4.8
%
8.7
%
10.4
%
12.2
%
U.S. franchise stores
3.2
%
6.8
%
7.6
%
10.5
%
11.9
%
U.S. stores
3.2
%
6.6
%
7.7
%
10.5
%
12.0
%
International stores
1.9
%
3.5
%
3.4
%
6.3
%
7.8
%
Store counts (at end of period):
U.S. Company-owned stores
342
390
392
392
384
U.S. franchise stores
5,784
5,486
5,195
4,979
4,816
U.S. stores
6,126
5,876
5,587
5,371
5,200
International stores
10,894
10,038
9,269
8,440
7,330
Total stores
17,020
15,914
14,856
13,811
12,530
(1)
The adoption of Accounting Standards Codification 606, Revenue from Contracts with Customers (“ASC 606”) in 2018 resulted in the recognition of revenue and expenses related to U.S. franchise contributions to DNAF. In prior years, under accounting standards in effect at that time, we had presented the contributions net with the related disbursements in our consolidated statements of income.
(2)
The working capital amounts exclude restricted cash and cash equivalents, advertising fund assets, restricted, and advertising fund liabilities.
(3)
Total assets as of December 29, 2019 reflects the adoption of Accounting Standards Codification 842, Leases (“ASC 842”).
(4)
In 2018, we began managing our franchised stores in Alaska and Hawaii as part of our U.S. Stores segment. Prior to 2018, store counts and retail sales from these franchised stores were included in our international stores in the table above. Consolidated results have not been impacted by this change and prior year amounts have not been reclassified to conform to the current year presentation due to immateriality.
(5)
Includes non-cash investing activities related to accruals for capital expenditures.
(6)
Global retail sales growth refers to total worldwide retail sales at Company-owned and franchise stores. We believe global retail sales information is useful in analyzing revenues because franchisees pay royalties and advertising fees that are based on a percentage of franchise retail sales. We review comparable industry global retail sales information to assess business trends and to track the growth of the Domino’s Pizza ® brand. In addition, supply chain revenues are directly impacted by changes in franchise retail sales. Retail sales for franchise stores are reported to us by our franchisees and are not included in our revenues. Global retail sales growth, excluding foreign currency impact, is calculated as the change of international local currency global retail sales against the comparable period of the prior year. Global retail sales growth in 2015 includes the favorable impact of the 53rd week.
(7)
Same store sales growth is calculated including only sales from stores that also had sales in the comparable period of the prior year. International same store sales growth is calculated similarly to U.S. 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 53 rd week in fiscal 2015 had no impact on reported same store sales growth amounts.
(8)
The 2015 fiscal year includes 53 weeks and the 2019, 2018, 2017 and 2016 fiscal years each include 52 weeks.
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