Overview
- Dollarama reported on Thursday that first-quarter fiscal 2027 sales rose to C$1.85 billion, a 21.4% year-over-year increase, and net earnings climbed to C$302.3 million with diluted EPS of C$1.11, beating analyst forecasts.
- Comparable-store sales in Canada grew 5.6% in the quarter, a sign that budget-conscious shoppers are buying more essentials at value-priced stores.
- The chain opened 28 net new Canadian locations during the quarter, bringing the countrywide total to 1,719 stores, and management kept fiscal 2027 targets of 3–4% same-store growth and 60–70 net new Canadian openings.
- Investors reacted positively to the results with the stock jumping about 8% and analysts maintaining mostly constructive ratings while noting execution will be watched closely.
- Dollarama’s international moves, including a stake in Dollarcity and last year’s purchase of The Reject Shop, are presented as growth opportunities that could pressure margins during integration and are the main items for investors to monitor next.