(Reuters) -Domino’s Pizza on Monday posted a surprise decline in first-quarter U.S. same store sales as consumers curbed spending on dining out amid high inflation and macroeconomic uncertainty.
The world’s largest pizza chain’s same-store sales in the U.S. fell 0.5%, compared with analysts’ average estimate of a 0.5% rise, according to data compiled by LSEG.
President Donald Trump’s erratic trade policy has fanned fears of a recession in the United States, affecting demand for discretionary items, as well as dining out.
Domino’s Pizza’s newly launched parmesan-stuffed crust pizza and promotional “boost weeks”, offering 50% off on all online orders, helped drive some demand, analysts have said.
The company’s shares fell about 2% in premarket trading. They have risen about 16% so far this year.
For the first quarter ended March 25, the company posted earnings per share of $4.33, beating analysts’ average estimate of $4.07.
International same-store sales grew 3.7%, ahead of analyst estimates of 1.93% growth.
Earlier this month, Domino’s announced a partnership with DoorDash, which will allow users to place orders via the DoorDash app when it’s launched nationwide in May.
(Reporting by Juveria Tabassum in Bengaluru; Editing by Shinjini Ganguli)
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