• Net sales up 11% in H1
  • Net income reaches $303m
  • Company raises low-end of earnings guidanc 

US discounter Dollar General has raised the low-end of its guidance range for full- year earnings after a "strong" second quarter.

Dollar General said yesterday (30 August) total sales increased 11.1% to US$7.03bn in the first six months of its financial year. Same-store sales climbed 5.6% in the period to 29 July. Net income reached $303m, compared to net income of $277m a year earlier.

Second-quarter net income was $146m, up from $141m in the same period last year.

"Dollar General delivered strong results for the second quarter," chairman and CEO Rick Dreiling said "Our same-store sales increase of 5.9% in the quarter represents an acceleration from the first quarter and demonstrates our ability to balance the challenges of pricing and rising input costs. Our customers are depending on us even more for the convenience and value we offer.

"In this period of economic uncertainty, we continue to focus on factors that we can control, and we still expect to deliver strong financial performance in 2011," Dreiling continued. "Given our results in the first half of the year, we are raising the low-end of our earnings guidance range reflecting expected same-store sales growth of 4% to 6%. For the 53-week fiscal year, we now expect total sales growth of 12% to 14% and adjusted EPS of $2.22 to $2.30."

A full copy of Dollar General's results can be found here.