The company has reported better-than-expected first-quarter earnings and sales as stimulus checks gave a boost to revenue.
The discounter executed more than 800 real estate projects (260 new stores, 543 remodels and 33 relocations) during the quarter, including store openings in its new PopShelf and larger-footprint Dollar General formats.
The retailer said that it remains on track to open 1,050 new stores, remodel 1,750 locations and relocate 100 stores in 2021. It continues to expect capital expenditures in the range of $1.05bn to $1.15bn.
Dollar General’s net income totalled $677.7M, or $2.82 per share, in the quarter ended April 30, up from $650.4M, or $2.56 per share, in the year-ago period. Analysts had estimated earnings per share of $2.19.
“Our first-quarter results exceeded our expectations, reflecting strong underlying performance across the business, which we believe was enhanced by the most recent round of government stimulus payment,” said CEO Todd Vasos. “Given our first-quarter outperformance, we are raising our financial outlook for fiscal 2021.”
