Canadian retailer Dollarama's profit rises 37 percent
(Reuters) - Canadian dollar-store operator Dollarama Inc (DOL.TO: Quote) reported a 37 percent rise in quarterly profit as same-store sales increased and customers bought more higher-priced items.
The retailer, which sells items for up to C$3, said items priced higher than C$1.25 accounted for 59.7 percent of total third-quarter sales, up from 54.1 percent last year.
Same-store sales rose 6.4 percent in the quarter ended Nov. 1, compared with a 5.9 percent increase a year earlier.
The increase in same-store sales was aided by a 5.4 percent rise in the average check-out bill, compared to a 4.8 percent rise last year.
The Montreal-based company, which had 1,005 stores as of Nov. 1, said it opened 16 new stores in the third quarter and was on track to open 70-80 new stores by the year-end.
Net income rose to C$100.1 million ($73.81 million), or 78 Canadian cents per share, in the third quarter ended Nov. 1, from C$73 million, or 55 Canadian cents per share, a year earlier.
Sales rose 13 percent to C$664.5 million.
Dollarama's shares, which had risen about 48 percent this year, closed at C$88.10 on the Toronto Stock Exchange on Tuesday.
($1 = C$1.36)
(Reporting By Darshana Sankararaman and Anet Josline Pinto in Bengaluru; Editing by Don Sebastian)
© Thomson Reuters 2017 All rights reserved.