Domino's Pizza Inc. fourth quarter net income edges up

ANN ARBOR (AP) -- Pizza delivery chain Domino's Pizza Inc.'s fourth-quarter net income rose 2 percent as customers responded to its advertising and reformulated pizza. Quarterly net income rose 2 percent to $24.2 million, or 39 cents per share, from $23.6 million, or 41 cents per share, in the prior year period. Excluding a loss on extinguishment of debt, earnings were 40 cents per share. That matched analysts' expectations, according to FactSet. Per-share results were lower in the latest quarter because of a greater number of shares outstanding. Revenue rose 4 percent to $480 million from $462.9 million. Analysts expected $485.6 million. Revenue in U.S. restaurants open at least one year rose 6.3 percent during the quarter. The measure is considered a key gauge of a restaurant's financial health because it excludes restaurants that open or close during the year. Domino's international revenue rose 9 percent at restaurants open at least at year. The company has revamped its pizza recipes and heavily advertised the changes. J. Patrick Doyle, president and CEO, said: "In 2010, we demonstrated that we're a new Domino's. In the U.S., our decision to improve our pizza, and the success that resulted from it, allowed us to build a new base of customers and a stronger base of business from which to grow." For the year, net income rose 10 percent to $87.9 million, or $1.45 per share, from $79.7 million, or $1.38 per share. Revenue rose 12 percent to $1.57 billion from $1.40 billion last year. Long term, Domino's expects revenue in restaurants open at least one year to rise 1 percent to 3 percent in the U.S. and 3 percent to 5 percent internationally. The company, based in Ann Arbor, Mich., expects global retail sales to rise 4 percent to 7 percent. Published: Thu, Mar 3, 2011