DPC Dash Ltd, Domino's Pizza's exclusive master franchisee across mainland China, Hong Kong, and Macau, posted RMB3.13 billion in first-half 2026 revenue — a 20.8% year-over-year gain — while adding 235 net new stores and entering 15 new cities, bringing its total network to 1,550 units across 75 cities as of June 30. Net profit attributable to owners rose 22.9% to RMB81.0 million, with basic EPS up 24.0% to RMB0.62.

The Numbers

Transaction volume surged 33.7% year-over-year, fueled by rapid unit growth and delivery channel expansion. Same-store transaction count (SSTG) improved to 7.1%, up from 3.9% in the year-ago period and the strongest reading in several halves — including a first-ever positive SSTG of 2.2% for stores in newer city markets. Same-store sales growth (SSSG), however, came in at -4.8%, as average transaction price (ATP) fell 9.6% to RMB72.9, dragged lower by deep consumer subsidies run through third-party aggregator platforms (3PP) since mid-2025. Delivery sales grew 44.7% to RMB1.62 billion, underscoring the channel's structural importance to the model. Store-level EBITDA rose 8.3% to RMB544.5 million, though the store-level EBITDA margin contracted 200 basis points to 17.4%. Store-level operating profit margin narrowed to 12.5% from 14.6% a year earlier. Adjusted EBITDA reached RMB350.7 million, up 8.6%, at an 11.2% margin. The company closed the period with RMB934.7 million in cash and a gearing ratio of 7.9%.

ATP Headwinds and Channel Dynamics

The ATP compression is the headline risk in this report. Aggressive 3PP subsidy campaigns — run by platforms such as Meituan and Ele.me — inflated order volumes while eroding realized ticket size across the QSR delivery segment in China. DPC Dash benefited from the traffic lift, accelerating delivery penetration in both established and new-city markets ahead of its original schedule, but the trade-off was a lower blended revenue per transaction. CEO Aileen Wang noted that new-city stores launched with "exceptionally strong initial sales," creating a high comp base that compounded the ATP-driven SSSG softness. CFO Helen Wu flagged that corporate-level cost efficiency partially offset unit-economics pressure — total corporate overhead declined from 8.1% to 7.5% of revenue — and pointed to gradual subsidy rationalization as the primary lever for ATP recovery in the second half.

Supply Chain and Outlook

On the infrastructure front, DPC Dash commissioned its fourth Supply Chain Centre in Wuhan in late August, designed to support over 200 stores in central China and reduce dough-delivery logistics costs previously borne by facilities in Shanghai, Beijing, and Dongguan. Sites for two additional SCCs in Chengdu and Nanjing have been secured, with operations targeted for the second half of 2027. The loyalty program reached 41.9 million members — up 39.2% year-over-year — with members accounting for 60.1% of revenue, a retention flywheel that supports repeat transaction frequency. Management reaffirmed its full-year target of approximately 350 net new store openings; as of mid-August, 27 additional units had opened with 38 under construction and 36 signed or approved. At current store density of roughly 2.5 units per million population across its 75-city footprint — versus an estimated 13.9 pizza stores per million nationally — the white-space argument for continued unit growth remains intact. For operators tracking international QSR expansion benchmarks, mainland China has become the second-largest market in Domino's global system by store count, with DPC Dash units holding all top 70 positions in Domino's 30-day new-store sales rankings worldwide.

Written by Michael Politz, Author of Guide to Restaurant Success: The Proven Process for Starting Any Restaurant Business From Scratch to Success (ISBN: 978-1-119-66896-1), Founder of Food & Beverage Magazine, the leading online magazine and resource in the industry. Designer of the Bluetooth logo and recognized in Entrepreneur Magazine's "Top 40 Under 40" for founding American Wholesale Floral, Politz is also the Co-founder of the Proof Awards and the CPG Awards and a partner in numerous consumer brands across the food and beverage sector.