Family Dollar Stores Inc. (NYSE: FDO) said Thursday that sales at stores open at least a year rose 2.4 percent in its fiscal first quarter, benefiting from improved traffic and new store openings, according to Associated Press.
Sales at stores open at least a year are seen as a key indicator of retailer performance, because they measure growth at existing stores rather than newly opened ones.
Penny Stock Professor, a leading financial publication, is pleased to alert investors of stocks on the move. Sign Up for our Free Penny Stock Picks.
While sales were encouraging, Chairman and CEO Howard Levine said average transaction value was flat, as shoppers continued to come under pressure from the recession.
Total sales for the period ended Nov. 28 grew 3.9 percent to $1.82 billion. Analysts polled by Thomson Reuters expected revenue of $1.86 billion for the quarter.
Family Dollar said it added 43 new stores in the quarter, bringing it to 6,665 stores at quarter's end. The company's attractive prices have helped it during the economic downturn, as shoppers continue to trade down and seek out bargains.
The discount retailer also maintained its guidance for first-quarter earnings in a range of 45 cents to 50 cents per share. Analysts expect a profit of 48 cents per share.
Family Dollar's stock fell $2.18, or 7.1 percent, to $28.55 in afternoon trading. The stock has ranged from $24.02 to $35 over the past year.
Follow us on Twitter: http://www.twitter.com/pennystockspro
Sign up for the free Penny Stock Professor newsletter. To subscribe, enter your e-mail address into the frame at the bottom of this press release or visit our website.
About Us
Penny Stock Professor is a leading stock web site that allows investors and interested parties to research stocks that are on the move. We also track small cap companies that are on the brink of a financial breakout. To feature a company on our web site please contact us at the email listed below.
Please click here to read the full disclaimer.
