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VOL. 39 | NO. 48 | Friday, November 27, 2015
Dollar General 3Q profit beats Street, sales increase
GOODLETTSVILLE (AP) — Dollar General's third-quarter profit topped expectations on strong sales of candy and snacks, though revenue, while up, fell a bit short of projections.
Sales at stores open at least a year, a key gauge of a retailer's health, rose 2.3 percent as traffic at stores increased and customers spent more during visits.
The discount retailer earned $253.3 million, or 86 cents per share, for the period ended Oct. 30. A year earlier the Goodlettsville, Tennessee, company earned $236.3 million, or 78 cents per share.
Earnings, adjusted for restructuring costs, were 88 cents per share, a penny better than Wall Street had expected, according to analysts surveyed by Zacks Investment Research.
Revenue increased to $5.07 billion from $4.72 billion but was short of the $5.09 billion projected by industry analysts.
Dollar General Corp. narrowed its full-year earnings forecast. The company now foresees full-year earnings in the range of $3.88 to $3.93 per share. Its prior outlook was for $3.85 to $3.95 per share. Analysts surveyed by FactSet predict $3.92 per share.
For the fourth quarter, the company expects earnings between $1.23 and $1.28 per share. Analysts polled by FactSet expect $1.27 per share.
Dollar General also announced Thursday that interim Chief Financial Officer John Garratt will be taking that job permanently.