Dollar General sales improve, notes positive Q4, fiscal results
GOODLETTSVILLE, Tenn. Dollar General reported strong fourth-quarter and fiscal-year results Wednesday.
The discount chain said its fourth quarter, which ended Jan. 29, net income totaled $87.2 million, compared with $81.9 million in the same period the prior year. Additionally, sales increased 11.9% to $3.19 billion in the quarter, compared with the year-ago period. Same-store sales increased 7.4%, with customer traffic and average transaction amount contributing to the same-store sales increases. Sales were strongest in the consumables and seasonal categories, Dollar General reported.
Meanwhile, Dollar General reported net income of $339.4 million for the fiscal year, a near 214% spike since fiscal 2008. Full year 2009 net sales were $11.8 billion, an increase of $1.34 billion, or 12.8%, compared with net sales of $10.46 billion in 2008. Same-store sales increased 9.5% in 2009.
“Dollar General had another outstanding year in 2009. We are continuing to execute on our operating priorities with precision and discipline,” said Rick Dreiling, chairman and CEO. “We delivered strong same-store sales growth of 9.5% for the year on top of 9% same-store sales growth in 2008. We completed our second decade of consecutive annual same-store sales growth by providing our customers with value and convenience as we continue to improve our merchandise assortment and upgrade our in-store experience.”
Survey notes rise in MP3 player usage while driving
NEW YORK Drug stores should get involved in the consumer electronics game, as the number of people who listen to an iPod or MP3 player continues to rise.
According to a survey of 1,753 people ages 12 years and older, 24% of people have listened to music devices while connected to a car stereo, survey conductors from Arbitron and Edison Research revealed. Additionally, the new national study showed that 44% of all Americans ages 12 years and older own an iPod or MP3 player. Among that group, 54% have connected their players for listening in the car.
“The car is clearly a crucial battleground for people’s attention, and our study shows that most of those who do listen in this fashion do so more than once a week,” said Larry Rosin, Edison Research president.
This is the 18th in a series of studies Arbitron and Edison have conducted since 1998 on topics relating to the Internet and new media.
FTC clears Walgreens’ acquisition of Duane Reade
DEERFIELD, Ill. Walgreens has received regulatory clearance from the Federal Trade Commission needed to acquire Duane Reade, the drug store chain announced Tuesday.
“We’re clear to move forward and complete the Duane Reade acquisition, which will immediately give Walgreens a leading position in the nation’s largest drug store market,” said Walgreens president and CEO Greg Wasson. “We look forward to combining the strengths of our two companies to best serve our customers in the New York metropolitan area and the many communities we serve nationwide, while also creating real value for our shareholders.”
Last month, Walgreens signed a definitive agreement under which Walgreens will acquire Duane Reade from affiliates of Oak Hill Capital Partners. In the cash transaction, Walgreens will acquire all 257 Duane Reade drug stores in the New York metropolitan area, as well as the corporate office and two distribution centers.
Walgreens expects to complete the acquisition in early to mid-April.