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What: Shares of Domino’s Pizza
So what: Revenue rose 6% to $384.9 million while profit rose 8% to $0.40 a share. Same-store sales increased 4.8% in the U.S. and 7.4% in other parts of the world. Analysts had been calling for $376.8 million and $0.36 a share, respectively.
Now what: Domino's made plenty of dough, taking in $789 million in cash from operations through the first six months of the year. Even so, CEO Patrick Doyle is tapping the capital markets to refinance securitized debt owed by Domino's subsidiaries. The offering is expected to close during Q3. Rates weren't disclosed, but with the Fed in inflation-fighting mode it's a good bet that Domino's is paying far less than the 50%-plus it tends to earn on its invested capital. Do you agree? Disagree? Let us know what you think about Domino’s business using the comments box below.
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Fool contributorTim Beyers is a member of the Motley Fool Rule Breakers stock-picking team. He didn’t own shares in any of the companies mentioned in this article at the time of publication. Check out Tim'sportfolio holdings andFoolish writings, or connect with him on Google+ or Twitter, where he goes by @milehighfool. You can also get his insightsdelivered directly to your RSS reader.
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