Discount Retail Chain Dollarama fiscal 2024 and fourth quarter sales saw double digit growth as Canadians continued to seek out the chain’s discounted groceries and other products.
Following the earnings release, the company raised its quarterly dividend by nearly 30 per cent (9.2 cents per share, up from 7.08 cents per share) and forecasts strong comparable store sales growth of 3.5 to 4.5 per cent above estimates.
Fiscal 2024 sales increased 16 per cent to $5.86 billion compared to $5 billion in the previous year, while fourth quarter sales grew 11.3 per cent to $1.63 billion compared to $1.47 billion last year.
Comparable store sales in fiscal 2024 grew 12.8 per cent over and above a 12.0 per cent growth the previous year. Comparable store sales in the fourth quarter climbed 8.7 per cent over last year.
“In fiscal 2024, we met or exceeded our guidance for all our key performance metrics, including higher than expected comparable store sales, translating into a 29 per cent increase in EPS. Our strong financial and operational performance demonstrates the enduring strength of our business model and that our compelling value proposition continues to resonate with consumers, including in an uncertain economic context,” says Neil Rossy, president and CEO of Dollarama.
“Looking ahead to Fiscal 2025, we expect to generate strong comparable store sales growth of between 3.5% to 4.5%, over and above an exceptional two years of double-digit growth, by staying true to our value and convenience promise to Canadian consumers.”
Read more: Steady demand for discount drives Dollarama sales above expectations - Grocery Business Magazine
