Domino's expects sales pressure to persist after drop in first quarter |  Reuters


Domino's start Pizza Inc missed quarterly sales estimates on Thursday and warned staffing shortages and inflation would pressure its business further into the year, sending the fast-food chain's shares down 5%.

U.S. restaurants have struggled to keep their workers from leaving for higher-paying jobs, with Domino's even offering consumers a $3 coupon code for picking up their own online orders during the quarter to circumvent a driver shortage.

"2022 is shaping up to be a challenging year," Chief Executive Officer Richard Allison said during an earnings call, adding that the company's U.S. business will face earnings and sales pressure over next several quarters.

The downbeat update from Domino's comes at a time when analysts have said staffing issues at U.S. restaurants are abating, setting up the industry for a stronger second half of the year.