Dollar General Shares Plummet 25%, Company Blames Economy For ‘Financially Constrained’ Customers – One America News Network


AUSTIN, TEXAS - MARCH 16: The exterior of a Dollar General convenience store is seen on March 16, 2023 in Austin, Texas. Dollar General reported mixed quarterly earnings, with its fourth quarter falling short of analysts expectations. (Photo by Brandon Bell/Getty Images)
The exterior of a Dollar General convenience store is seen on March 16, 2023 in Austin, Texas. (Photo by Brandon Bell/Getty Images)

OAN Staff James Meyers
9:35 AM – Thursday, August 29, 2024

Dollar General stores plummeted on Thursday after the discount retailer cut its sales and profit guidance for the entire year, alluding to the fact that lower-income customers are struggling with the economy. 

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Shares of the popular retailer dropped 25% in premarket trading after the earnings report. 

The discounted store expects fiscal 2024 same-store sales to be up 1.0% to 1.6%, which is smaller than the prior outlook of 2% to 2.7% increase. Additionally, earnings per share for the year are expected to be in the range of just $5.50 to $6.20, compared to the prior expectations of $6.80 to $7.55 per share.

“While we believe the softer sales trends are partially attributable to a core customer who feels financially constrained, we know the importance of controlling what we can control,” said CEO Todd Vasos in a statement.

Dollar General reported disappointing numbers for the latest number for the latest quarter. Earnings per share of $1.70 came in below an estimate of $1.79 per share, with the revenue of $10.21 billion fell lower than the analyst expectation of $10.37 billion. 

Competitor Dollar Tee fell off by over 9% in premarket trading. 

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James Meyers
Author: James Meyers

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