Home helped boost Dollar General comparable sales in the second quarter as the company’s earnings beat a Wall Street estimate.
Net income was $426.6 million, or $1.65 per diluted share, compared with $407.2 million, or $1.52 per diluted share, in the year-previous quarter. Adjusted net income, without one-time charges, was $450.7 million, or $1.74 per diluted share, versus $407.2 million, or $1.52 per diluted share, in the quarter a year before.
Dollar General topped a MarketBeat-published analyst consensus adjusted diluted earnings per share estimate by 16 cents.
Comparable sales gained 4% in the quarter year over year, driven by advances in both average transaction amount and customer traffic, as consumables, seasonal and home segments enjoyed increases partially offset by an apparel category decline.
Second quarter net sales were $6.98 billion versus $6.44 billion in the year-prior quarter. Operating profit was $577.8 million versus $545.5 million in the quarter a year earlier.
“We are pleased with our second quarter results, driven by strong performance on both the top and bottom lines,” said Todd Vasos, Dollar General’s CEO. “Our results this quarter were fueled by solid execution across many fronts, including category management, merchandise innovation, store operations and continued progress with our strategic initiatives. In addition, we remained focused on disciplined cost control, which culminated in another quarter of strong earnings growth. Given our first-half performance and expectations for the remainder of the year, we are raising our full-year financial guidance.”