Canadian retail chain Dollarama has reported that its earnings before interest, taxes, depreciation and amortisation grew by 24% to C$478.8m ($352.7m) in the third quarter (Q3) of fiscal 2024 (FY24), compared with C$386.2m in the same period in FY23.
The retailer’s net earnings for the quarter increased to C$261.1m from C$201.6m in Q3 FY23, and its diluted net earnings per common share for the period also increased by 31.4% to C$0.92, from C$0.70 a year previously.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
During the 13 weeks ending 29 October 2023, sales of Dollarama increased by 14.6% to C$1.4bn, from C$1.2bn in Q3 FY23.
The increase was driven by growth in the total number of stores and an 11.1% increase in comparable store sales.
The retailer’s total number of stores increased from 1,462 to 1,541 over the 12 months to December 2023.
Dollarama delivered an operating income of C$386.7m in Q3 FY24, an increase of 27.8% from C$302.6m in Q3 FY23.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataThe company’s gross profit for the quarter was C$670.2m compared with C$558.7m in the same period of the previous year.
For FY24, Dollarama expects its comparable store sales to grow between 11% and 12%.
Dollarama president and CEO Neil Rossy stated: “Sustained consumer demand for our broad range of affordable everyday products and strong execution in the third quarter of fiscal 2024 drove double-digit same-store sales growth for a sixth consecutive quarter as well as over 31% earnings per share growth.
“Our financial and operational performance year-to-date reflects the strength and relevance of our value proposition and business model in a challenging macro-economic context.”
