Ritch Allison explains decision to retire as Domino’s CEO, expresses confidence in successor
Domino’s Pizza outgoing chief executive Ritch Allison told CNBC that the company is in good hands with its new leadership.
“I’m at the point in my life now where my wife and I are ready to go back home to North Carolina … and I’ll tell you that I feel really good about doing that because the company is in such a fantastic place right now,” the Charlotte, North Carolina native said in an interview on “Mad Money.”
Allison received an undergraduate degree in business from the University of North Carolina at Chapel Hill in 1989. He later obtained his MBA from the University of North Carolina Kenan-Flagler in 1995, according to the university.
Domino’s announced Allison’s retirement on Tuesday, with current chief operating officer Russell Weiner set to take over as CEO on May 1.
“[Weiner has] really been the architect of much of the innovation you’ve seen across Domino’s, from product, to advertisement, the image of our stores … I just couldn’t be more comfortable handing the reins over,” Allison said.
Allison’s comments come after the pizza company reported worse-than-expected fourth-quarter earnings and revenue. Domino’s shares fell more than 9% early in Tuesday’s session, before recovering to break into positive territory; the stock ultimately closed the trading day at the flatline.
As Allison exits, he won’t only be handing over his position as CEO — labor and wage inflation continues to dog the company and is an issue Weiner will have to grapple with.
“Most definitely there has been wage inflation in the marketplace and we’ve really tried to invest to stay up with that and ahead of it. But we also see challenges … With respect to the supply of labor out there right now. So we’re working through that,” he said.
