DPZ Q1 2026: U.S. comps of 0.9% miss, FY outlook trimmed, shares fall ~9%

Transcript intelligence

What changed

Relative to the strong Q4 2025 report - which featured 8% operating profit growth, double-digit net store growth, a 15% dividend increase and an $80M buyback under a maintained guidance tone - Q1 2026 marks a clear softening. U.S. same-store sales slowed to 0.9%, full-year comp guidance was lowered to low-single-digit growth, and EPS and revenue both missed consensus. The market reaction was sharply negative: DPZ fell about 9% on the report session versus a +0.2% SPY move, followed by further drift. The stable element was the reaffirmed 3% FY U.S. same-store-sales target.

Guidance delta

Full-year U.S. same-store sales guidance was lowered to low-single-digit growth on the Q1 2026 call, while management reaffirmed the 3% FY U.S. same-store-sales target and the 6% global retail-sales-growth ambition from Q4 2025. Reported Q1 results missed both EPS ($4.13 vs $4.27 estimated, -3.3%) and revenue ($1.15B vs $1.16B estimated, -1.0%). Capex outlook was not mentioned on the call. No explicit Q2 numeric guidance appears in the supplied analysis, so forward figures beyond these were not used.

Key takeaways

• Q1 U.S. same-store sales grew only 0.9%, below internal expectations due to macro pressure and aggressive competitor promotions
• Full-year comps outlook was revised to low-single-digit growth; the 3% FY U.S. same-store-sales target was reaffirmed unchanged
• EPS of $4.13 and revenue of $1.15B missed consensus of $4.27 and $1.16B
• Shares fell about 9% on the report session at roughly 5x normal volume, then drifted about 7% lower
• New AI-powerered app, upgraded pizza tracker and DomOS orchestration are positioned to drive speed, accuracy and loyalty

Management priorities

• Accelerate pizza-centric product innovation in the second half of 2026
• Adjust the marketing calendar and media plan to counteract macro headwinds
• Expand carryout share and enhance the customer experience via the new app
• Maintain aggressive franchisee support and store expansion targets
• Continue disciplined share repurchases and dividend increases