Investing.com -Domino's Pizza, Inc. (NASDAQ: DPZ) reported first-quarter results that fell short of Wall Street expectations on Monday.

Adjusted earnings per share of $4.13 missed the analyst consensus of $4.28 by $0.15, while revenue of $1.15 billion also came in below the $1.17 billion estimate.

The pizza chain posted U.S. same-store sales growth of 0.9% and an international same-store sales decline of 0.4%, excluding foreign currency impact. Total revenue increased 3.5% from $1.11 billion in the prior year period. Global retail sales grew 3.4%, excluding foreign currency impact, driven by net store growth of 180 locations during the quarter, including 19 in the U.S. and 161 internationally.

Shares fell 3.8% following the results.

"Q1 2026 represented another quarter of positive order count and market share growth for Domino's in the U.S.," said Russell Weiner, Chief Executive Officer. "In an intensifying macro and competitive environment, our scale advantage and best-in-class store-level profitability uniquely position Domino's in the QSR Pizza category to sustain the value and innovation customers demand."

Income from operations increased 9.6% to $230.4 million, or 7.9% excluding a $3.6 million positive impact from foreign currency exchange rates. The improvement was driven by higher franchise royalties and supply chain gross margin expansion of 0.6 percentage points. A $7.8 million pre-tax gain from the sale of the company's corporate aircraft also contributed to operating income growth.

Net income declined 6.6% to $139.8 million, primarily due to a $30.0 million unfavorable change in unrealized losses associated with the company's investment in DPC Dash Ltd. Free cash flow decreased 10.6% to $147.0 million from $164.4 million in the prior year quarter.

The Board of Directors approved an additional $1.0 billion share repurchase program and declared a quarterly dividend of $1.99 per share, payable June 30, 2026.