Family Dollar's consumables sales pressure profit
January 3, 2013,
Matthews, N.C. - Sales and comps were up nicely during Family Dollar's first quarter, but the emphasis on low-margin consumables flattened profit.
Net income for the quarter ended Nov. 24 was $80.35 million, or 69 cents per share, compared to net income of $80.25million, or 68 cents per share in the year-ago period.
Sales climbed 12.7% to $2.42 billion compared, with sales up 18.5% in consumables, driven primarily by strong growth in tobacco, food and health and beauty aids.
Comps rose 6.6% on stronger traffic and a higher average customer transaction.
During the quarter, Family Dollar opened 125 new stores, closed one store, and renovated, relocated or expanded 169 stores.
Related Content By Author
The Countdown to the ICON Honors
Home & Textiles Today eDaily