Dollar General Net Jumps 51 Percent in Second Quarter
August 31, 2010,
GOODLETTSVILLE, Tenn.--Net income for Dollar General totaled $145.2 million in the second quarter, up 51 percent from the second quarter of last year.
The discount retailer managed this strong performance through a net sales gain of 11 percent to $3.2 billion, and a pickup of 101 basis points in gross margin to 32.2 percent. Selling, general and administrative expenses increased by 9.3 percent but fell 32 basis points as a percentage of sales, to 22.9 percent. Same-store sales in the quarter tacked on 5.1 percent.
Based on the second-quarter results, Dollar General now expects sales for all of the 2010 fiscal year to finish 8.5 to 10.5 percent ahead of last year's sales. Same-store sales should rise by from 4 to 6 percent, according to the company's current projections.