Dollar General Boosts Q4 Net 8.5 Percent; FY Net Up 24.3 Percent
March 25, 2013,
GOODLETTSVILLE, Tenn.-Higher gross margin and reduced interest expense helped Dollar General to firm its net income by 8.5 percent in its fiscal fourth quarter, to $317.4 million.
For the fiscal year ending on Feb. 1, the dollar-store retailer's net income totaled $952.7 million, up 24.3 percent from the prior fiscal year. Net sales rose 0.5 percent in the quarter to $4.2 billion, including a same-store sales increase of 3 percent. For the year, net sales gained 8.2 percent to $16 billion, including a 4.7 percent pickup in same-store sales.
Rick Dreiling, Dollar General's chairman and CEO, termed 2012 "yet another outstanding year...including exceptionally strong fourth-quarter results. We grew our market share and invested strategically to continue to win with our customers."
For the current fiscal year, Dollar General has projected a sales increase of from 10 to 12 percent, with a gain in same-store sales of from 4 to 6 percent. The company cautioned, "The volatility of the macroeconomic environment continues to pressure the consumer ... Management continues to closely monitor customers' responses to the economic and competitive environments."
Other Articles By Author
Patti Carpenter Talks Color and its Importance in the Home
HFN's DIGITAL EDITION
2017 State of the Industry Report
Cautious Optimism, Mixed Results
Many expected 2016 would be a banner year, but the political and economic climate softened consumer confidence. It was also a year consumers spent more lavishly on home remodeling rather than decorating.
ALSO IN THIS ISSUE:
- TJX Unveils First U.S. Homesense Store - In a time when retailers are reducing store counts, TJX continues to get physical.
- Ikea’s Fluid Spaces - The retailer’s new intros reflect multifunctional rooms.
- N.Y. Home Fashions Market Preview - Textile textures get soft and cozy, colors warmer.