Family Dollar profits up 12 percent

MATTHEWS, N.C. — With sales climbing at a strong double-digit pace, lifted by continued rapid expansion, second-fiscal quarter profits at Family Dollar Stores Inc. climbed 12 percent, to $81.4 million from $72.7 million last year.

Sales at the value-pricing, neighborhood small-store retailer climbed 11.7 percent, to $1.4 billion from $1.3 billion last year. Same-store sales improved 2.2 percent, with a 3.2 percent increase in hardlines partly offset by a 1.2 percent drop in softlines.

Average gross margin improved 60 basis points, or six-tenths of a percentage point, to 33.8 percent from 33.2 percent the year before. Margins were helped by improved initial margins through better sourcing of goods and lower levels of markdowns. The reduction in markdowns came as a result of purchasing seasonal goods on a conservative basis and better allocation of those goods to the stores, said Howard R. Levine, chairman and CEO.

Home & Textiles Today Staff | News & Commentary

 Home Textiles Today is the market-leading brand covering the home and textiles markets, offering a comprehensive package of print and online products. Home & Textiles Today provides industry news, product trends and introductions, exclusive industry research, consumer data, store operations solutions, trade show news and much more.

Featured Video

  • Live From New York: Fashion Comes Across the Pond

    Camera Icon More Videos

Subscribe to
Home & Textiles Today eDaily
Receive the news you need to know about the trends in the industry delivered right to your inbox.

CURRENT ISSUE

HTT Cover October 2017

See the October 2017 issue of Home & Textiles Today. In this issue, we look at the Top 25 Online Retailers.  H&TT's exclusive annual ranking of the biggest online sellers of home textiles finds that while pure play etailers continue to fly, bricks & clicks are digging into omnichannel. See details!