In first full month, Fred’s EntrustRx helps realize double-digit growth
MEMPHIS, Tenn. — May sales at Fred's Super Dollar increased by 10% to $166.9 million, reflecting the first full month of its EntrustRx specialty pharmacy operations, the discount retailer reported Thursday. Excluding $6.1 million from last year's May sales for 56 closed locations, total sales increased 15% for the month. Comparable store sales for the month increased 0.3% compared with a 0.4% decrease in the same period last year.
“We are pleased with the Company's solid sales growth in the month of May, meeting plan in both total and comparable store sales,” commented Jerry Shore, Fred's CEO. “This was significant considering that the fiscal month of May did not include the first day of the month. We anticipate June sales to reflect the benefit of this calendar shift. This progress sets the stage for a cycle of double-digit sales growth for the company for the remainder of the year.” he said. "As we outlined in our recent conference call, we expect to drive higher sales and traffic in the second quarter through pharmacy expansion, as well as general merchandise and supply chain initiatives that are progressing throughout the company."
Fred's total sales for the first four months of fiscal year 2015 increased 4% to $676 million. Excluding sales of $27.9 million from closed stores in 2014, total sales increased 9% for the first four months of 2015. On a comparable store basis, year-to-date sales increased 0.6% versus a 1.5% decrease for the year-earlier period.
During May, Fred's opened one Xpress pharmacy location and converted one Xpress pharmacy location into an existing full-service location.