MATTHEWS, N.C.-The fiscal year ending on Aug. 31 proved to be a record-breaking one for Family Dollar.
For the quarter, the dollar-store retailer reported net income of $102.2 million, up 26.3 percent, and net sales of $2.5 billion, an increase of 5.8 percent. For the year, net income totaled $443.6 million, up 5.1 percent, and net sales climbed 11.4 percent to $10.4 billion. Same-store sales in the quarter were flat and increased 3 percent for the fiscal year.
Howard Levine, Family Dollar’s chairman and CEO, said the retailer achieved its new records in spite of a more challenging than expected economic environment. “We have increased our market share, we have stabilized margins and we are increasing profitability,” Levine said.
Gross margin in the quarter increased 88 basis points to 34.7 percent. Selling, general and administrative expenses rose 7.6 percent in dollars and 46 basis points as a percentage of sales, to 28.5 percent.
“Our strategy is working, and we remain on course with our long-term goal to drive continued profitable growth and increase shareholder returns,” Levine added.