ISTANBUL 

Domino's Pizza Enterprises, the Australian and franchiser of the pizza chain, saw its first annual loss in decades, as the Gaza boycott caused restaurant closures across Asia.

The firm saw an annual loss of 3.7 million Australian dollars ($2.4 million) in the financial year ended in June 2025, a sharp decline from a $62.5 million profit in the previous year.

The profit of the firm was down 104% year-on-year in the financial year, according to the financial results the firm released on Wednesday.

The shares of the franchiser plummeted 23% in two days after it released the earnings. 

Two of the company's most important markets, France and Japan, have had persistently poor performance, with shop closures in the latter having a major negative effect on the company's bottom line. 

Its profit in one of its largest markets was further squeezed by declining post-pandemic demand and growing input prices in Japan. 

In the East Asian nation, the pizza chain operator shut down 233 of its losing locations earlier this year. 

Demands to boycott western firms that have alleged connections or aids to Israel have grown increasingly vocal amid its ongoing war against the besieged Gaza Strip. 

Israel has killed nearly 63,000 Palestinians, and led to mass starvation and widespread destruction across the coastal enclave.

The country also faces a genocide case at the International Court of Justice for its war on Gaza.