Dollar General: lowered guidance for the year

(CercleFinance.com) - On the occasion of its quarterly publication, Dollar General stated that it now expects EPS of between $5.
50 and $6.20 for the fiscal year ending January 2025, compared with a previous estimate of around $6.80 to $7.55. Similarly, the distribution group now expects annual sales growth of only around 4.7 to 5.3% (+1 to 1.6% on a same-store basis).

Similarly, the retail group now expects annual sales growth of only around 4.7 to 5.3% (+1 to 1.6% like-for-like), compared with the previous target range of around 6 to 6.7% (+2 to 2.7% like-for-like).

In its second accounting quarter, Dollar General posted EPS down 20.2% to $1.70 and operating profit down 20.6% to $550 million, despite sales up 4.2% to $10.2 billion.

Like-for-like sales were up only 0.5%, however, with an increase in customer traffic partly offset by a decline in average transaction amounts.

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