"Dollar General turned in a stronger-than-expected second quarter, showing it can grow both sales and profitability in a retail backdrop where incumbents like Target are flailing. Revenue rose 5.1% to $10.7 billion, fueled by continuous same-store sales growth and new store openings, and earnings per share climbed 9.4% to $1.86. Operating profit increased 8.3% as tighter inventory control and lower shrink boosted margins, highlighting how the discounter's multiple initiatives allow it to expand margins while pulling in more shoppers across income levels."
"The company's rapidly scaled delivery partnerships, with DoorDash and Uber Eats, along with its own same-day delivery offering, are a key element to the story of its expanded operating profit. These new partnerships allow Dollar General to bring convenience into towns that have traditionally been beyond the reach of one-hour delivery promises, CEO Todd Vasos told analysts on an Aug. 28 earnings call."
Dollar General reported stronger-than-expected Q2 results with revenue up 5.1% to $10.7 billion and EPS rising 9.4% to $1.86. Operating profit increased 8.3% as tighter inventory control and lower shrink improved margins. Continuous same-store sales growth and new store openings contributed to top-line expansion. Rapidly scaled delivery partnerships with DoorDash and Uber Eats, plus the company's own same-day delivery, extended one-hour delivery reach into rural markets. More than 75% of orders are delivered in one hour or less, enhancing convenience in underserved areas and creating a potential competitive advantage across income levels.
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