Domino's Maintains Fiscal 2026 Sales Forecast Amid Challenging Market Conditions

Domino's Pizza has maintained its fiscal 2026 sales forecasts despite a challenging macroeconomic environment that continues to impact consumer spending and intensify competition across the quick-service restaurant sector.

The company expects fiscal 2026 U.S. comparable sales growth and international sales growth to remain in the low single digits. Analysts had projected growth of 1.28 percent for U.S. comparable sales and 0.95 percent for international sales.

Speaking during the earnings call, retiring CEO Russell Weiner said the competitive pressure extends beyond the pizza category and is expected to continue throughout the year. He noted that restaurant operators across the quick-service segment are facing demand challenges as consumers remain cautious with discretionary spending and increasingly seek value offerings.

Domino's reported its slowest U.S. same-store sales growth in five quarters. Comparable sales increased 0.1 percent for the quarter ended June 14, falling short of analysts' expectations of a 0.62 percent increase, according to LSEG data.

The company reported second-quarter revenue of $1.19 billion, up 4.3 percent year-on-year and slightly ahead of market estimates of $1.18 billion. Supply-chain revenue increased 6.5 percent to $731.7 million, supported by higher store order volumes and a 2.2 percent increase in food basket pricing.

"I believe order growth is the most important driver of long-term success in our business," Weiner said in a statement, adding that order volumes increased despite weak industry demand.

Domino's cost of sales rose 4.7 percent to $716.2 million compared with the previous year. Quarterly earnings stood at $4.07 per share, below analysts' estimates of $4.17 per share.

Lale Akoner, global market strategist at eToro, said, "Domino's results suggest the business is holding up better than investors feared, but we think that the recovery is still fragile."

The company has lost nearly one-third of its market value over the last 12 months as competitive pressures and cautious consumer spending continue to shape performance across the quick-service restaurant industry.