It's fair to say the The Noid has failed in his mission to derail Domino's Pizza (NYSE: DPZ). The pizza chain has delivered steady growth and incredible consistency which has been very good for shareholders.
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What: Domino's reported Q2 results on July 21, delivering growth in same store sales, global store counts, and diluted earnings per share. That sent its stock, which opened July at $131.45 to close the month at $147.30, a 12% gain according to data provided by S&P Global Market Intelligence.
Image source: YCharts.
So what: The pizza chain reported that domestic same store sales grew 9.7% during the quarter versus the same quarter in 2015. That marks the 21st quarter in a row the company has delivered positive sales momentum in the U.S. business.
Numbers were solid internationally as well with Q2 same-store sales growth of 7.1%, marking an astounding 90th consecutive quarter of international same-store sales growth. Domino's added 244 stores in Q2, and over 1,000 over the trailing four quarters.
Diluted EPS came in at $0.98 cents for the second quarter, up 21% over the prior year quarter. In Q2 Domino's repurchased 1,845,126 shares of its common stock for approximately $224.1 million. Its board of directors also declared a $0.38 per share quarterly dividend for shareholders.
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"I am pleased with our impressive top and bottom line results during the second quarter, and the performance of our franchisees in the U.S. and across the globe," said CEO J. Patrick Doyle in the earnings release. "The business continued to progress in a very positive direction."
Now what: For Domino's the only challenge is whether it can keep up these numbers. So far it has given investors every reason to believe that it can. The chain has been remarkably consistent in delivering unwavering growth.
At some point perhaps the world will be saturated with inexpensive pizza places offering mediocre pies, but that day has clearly not-yet-arrived. Domino's has found a formula which works and it has been able to duplicate it around the world. That should continue for at least the short-term and perhaps longer than that.
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Daniel Kline has no position in any stocks mentioned. He once owned a stuffed Noid. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.