Dollar General Reports Third Quarter 2022 Results; Jeff Owen Comments
GOODLETTSVILLE, TN - Financial results are continuing to roll in, with Dollar General pushing its gains onto the table. Recently, the retailer released its fiscal year 2022 third quarter (13 weeks) ending on October 28, 2022, and the chain’s Jeff Owen highlighted an 11.1 percent increase in net sales, reaching $9.5 billion.
“We are thankful to our team for their continued dedication to serving others, particularly in a challenging economic and operating environment,” said Owen, Chief Executive Officer. “We are pleased with our strong sales growth in the quarter, as well as a modest increase in customer traffic and continued share gains in both consumable and non-consumable product sales, all of which we believe are a testament to the strength of the value and convenience proposition we offer our customers.”
This past quarter, Dollar General increased its net sales to $9.5 billion from last year’s $8.5 million during the same quarter. Sales were primarily driven by positive sales contributions from new stores and growth in same-store sales, partially offset by the impact of store closures. Same-store sales increased 6.8 percent compared to the third quarter of 2021, which was driven primarily by an increase in average transaction amount in addition to growth in the consumables category.
“Despite the cost pressures we experienced during the quarter, as well as challenges within our internal supply chain resulting in higher-than-anticipated distribution and transportation costs, our team was resilient and worked hard to deliver double-digit diluted EPS growth,” continued Owen. “We believe the majority of these and other gross margin pressures are largely temporary, and we are confident in our plans to drive greater supply chain efficiencies moving forward.”
According to the release, operating profit for the third quarter of 2022 increased 10.5 percent to $735.5 million compared to $665.6 million in the third quarter of 2021.
“We continued to make progress on our strategic initiatives and operating priorities during the quarter, including executing nearly 800 real estate projects. Looking ahead, we are pleased to announce today that we plan to execute approximately 3,170 real estate projects in the United States in fiscal year 2023, including approximately 1,050 new stores,” concluded Owen. “We are excited about our plans to extend our ability to serve more customers, and believe we are well-positioned to continue delivering long-term sustainable growth and value for our shareholders.”
For more in-depth information on the company’s latest update, click here.
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