Domino's Pizza 10-Q 2023-06-18
Filed 2023-07-24. 1 sections, 123K characters. Original on sec.gov · Markdown · JSON
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 10-Q
(Mark One)
☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 18, 2023
OR
☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from to
Commission file number: 001-32242
Domino’s Pizza, Inc.
(Exact Name of Registrant as Specified in Its Charter)
| Delaware | 38-2511577 | |
| (State or Other Jurisdiction of Incorporation or Organization) | (I.R.S. Employer Identification No.) | |
| 30 Frank Lloyd Wright Drive Ann Arbor**,** Michigan | 48105 | |
| (Address of Principal Executive Offices) | (Zip Code) |
(734) 930-3030
(Registrant’s Telephone Number, Including Area Code)
Securities registered pursuant to Section 12(b) of the Exchange Act:
| Title of Each Class | Trading Symbol | Name of Each Exchange on Which Registered |
| Domino’s Pizza, Inc. Common Stock, $0.01 par value | DPZ | New York Stock Exchange |
Indicate by check mark whether registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
| Large accelerated filer | ☒ | Accelerated filer | ☐ | |||
| Non-accelerated filer | ☐ | Smaller reporting company | ☐ | |||
| Emerging growth company | ☐ |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒
As of July 17, 2023, Domino’s Pizza, Inc. had 35,094,304 shares of common stock, par value $0.01 per share, outstanding.
Domino’s Pizza, Inc.
TABLE OF CONTENTS
PA****RT I. FINANCIAL INFORMATION
Ite****m 1. Financial Statements.
Domino’s Pizza, Inc. and Subsidiaries
Conden****sed Consolidated Balance Sheets
(Unaudited)
| (In thousands) | June 18, 2023 | January 1, 2023 (1) | ||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 77,020 | $ | 60,356 | ||||
| Restricted cash and cash equivalents | 189,694 | 191,289 | ||||||
| Accounts receivable, net | 260,024 | 257,492 | ||||||
| Inventories | 65,627 | 81,570 | ||||||
| Prepaid expenses and other | 53,201 | 37,287 | ||||||
| Advertising fund assets, restricted | 154,052 | 162,660 | ||||||
| Total current assets | 799,618 | 790,654 | ||||||
| Property, plant and equipment: | ||||||||
| Land and buildings | 105,847 | 105,659 | ||||||
| Leasehold and other improvements | 175,944 | 172,725 | ||||||
| Equipment | 351,927 | 333,787 | ||||||
| Construction in progress | 15,089 | 22,536 | ||||||
| 648,807 | 634,707 | |||||||
| Accumulated depreciation and amortization | (352,872 | ) | (332,472 | ) | ||||
| Property, plant and equipment, net | 295,935 | 302,235 | ||||||
| Other assets: | ||||||||
| Operating lease right-of-use assets | 213,817 | 219,202 | ||||||
| Goodwill | 11,688 | 11,763 | ||||||
| Capitalized software, net | 119,299 | 108,354 | ||||||
| Investment in DPC Dash | 110,876 | 125,840 | ||||||
| Deferred income tax assets, net | 2,492 | 1,926 | ||||||
| Other assets | 42,445 | 42,247 | ||||||
| Total other assets | 500,617 | 509,332 | ||||||
| Total assets | $ | 1,596,170 | $ | 1,602,221 | ||||
| Liabilities and stockholders’ deficit | ||||||||
| Current liabilities: | ||||||||
| Current portion of long-term debt | $ | 55,745 | $ | 54,813 | ||||
| Accounts payable | 90,688 | 89,715 | ||||||
| Operating lease liabilities | 37,611 | 34,877 | ||||||
| Insurance reserves | 30,197 | 31,435 | ||||||
| Dividends payable | 43,586 | 866 | ||||||
| Advertising fund liabilities | 150,365 | 157,909 | ||||||
| Other accrued liabilities | 139,336 | 167,006 | ||||||
| Total current liabilities | 547,528 | 536,621 | ||||||
| Long-term |
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