US-based variety store chain Dollar General has announced plans to open 1,050 new stores this year.
The company will also remodel 1,750 of its existing stores and relocate 100 others.
Dollar General reiterated the plans in its financial results for the fourth quarter of the fiscal year ending on 29 January.
Chief financial officer John Garratt said: “We believe the fundamentals of the business are strong, and we are confident in the team’s ability to execute on our robust plans for this year.
“While we remain cautious in our sales outlook for the year, given the significant uncertainty that still exists, our guidance reflects low double-digit same-store sales growth on a two-year stack basis. We believe this speaks to the underlying strength of the business.
“In addition, our diluted earnings per share (EPS) guidance reflects a compound annual growth rate over a two-year period that is well above our long-term goal of delivering at least 10% annual EPS growth on an adjusted basis.”
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Chief Operating Officer Jeff Owen said: “Overall, our real estate pipeline remains robust and we are excited about the significant new store opportunities ahead.”
As part of its stores remodelling project, Dollar General will increase the size of its sales floors to add more space for coolers of produce and fresh meat, an assortment of health and beauty products and more checkout lanes.
Larger store formats were trialled last year and recorded higher sales than the rest of the chain’s stores.
Dollar General will also launch a pilot to integrate its namesake brand and Popshelf, which it debuted last year, across 25 stores. These stores will feature signs for both brands at the entrance.
Popshelf sells home decor, beauty items, cleaning supplies and party goods, with almost all items costing $5 or less.
The company originally aimed to have 30 Popshelf stores by the end of the year, but has since raised this target to 50.