Overview
- The company reported adjusted EPS of $2.00 and net income of $444.1 million on a 3.4% revenue gain, a result disclosed on Tuesday, June 2 that topped earnings estimates.
- Dollar General raised its full-year adjusted EPS guidance to $7.20–$7.45 while keeping its net sales and same-store sales targets unchanged.
- Operating profit rose 10.8% and gross margin widened 65 basis points to 31.6%, improvements management attributed to higher inventory markups and reduced inventory shrink and damages.
- Comparable store sales grew 2.0%, driven by a 1.4% increase in customer traffic and a 0.5% rise in average transaction size, with CEO Todd Vasos noting an influx of higher-income shoppers trading down to save on essentials.
- Management reiterated an aggressive real-estate plan of about 4,730 projects for FY26, including roughly 450 new U.S. stores, plus a $0.59 quarterly dividend and $1.4–$1.5 billion in planned capital spending.