Dollar General Delivers Positive Third Quarter Net Sales Results Despite Rising Freight Costs
On Tuesday, Dollar General lowered its fiscal year 2018 net sales expectation from 9.3% to 9%, due in part to rising freight costs. Third quarter net sales were up 8.7%, and the company reiterated its previous projections for 900 new stores, 1000 remodels, and 100 relocations by the year 2020.
Additionally, analyst Edward Kelly says he is optimistic about the retailer’s 2019 outlook, as its consumer base should remain strong and the freight pressures it has faced should be peaking.
In a statement on Tuesday, CEO Todd Vasos kept his focus on “strong top-line growth and remained focused on expense control,” noting that the discount dollar retailer “achieved our highest two-year same-store-sales stack in 11 quarters.”