Dollarama Profit Up 37%
CBJ — Canadian dollar-store operator Dollarama reported a 37% rise in quarterly profit as same-store sales increased and customers bought more higher-priced items.
The retailer, which sells items for up to $3, said items priced higher than $1.25 accounted for 59.7 percent of total third-quarter sales, up from 54% last year.
Same-store sales rose 6.5% in the quarter ended Nov. 1, compared with a 6% increase a year earlier.
The increase in same-store sales was aided by a 5.5% rise in the average check-out bill, compared to a 5% rise last year.
The Montreal-based company, which had 1,005 stores as of Nov. 1, said it opened 16 new stores in the third quarter and was on track to open 70-80 new stores by the year-end.
Net income rose to $100.1 million, or 78 cents per share, in the third quarter ended Nov. 1, from $73 million, or 55 cents per share, a year earlier.
Sales rose 13% to $664.5 million.