Getting it done at Dollar General
GOODLETTSVILLE, Tenn. Sales and profits at Dollar General grew at a healthy pace during the second quarter as the company’s value proposition resonated with cost-conscious shoppers.
Profits increased $141.2 million, or 41 cents per share — better than the 38 cents a share analysts were expecting — compared with $93.6 million, or 29 cents per share in the year-ago period. Sales increased 10.8% to $3.21 billion, and same-store sales grew 5.1% in the quarter on top of a prior year gain of 8.6%. The company also pointed out an increase in customer traffic and transaction size, noting that more customers frequented Dollar General and spent more on each visit during the second quarter.
“Our outstanding result for the second quarter built on our track record of success over the last 10 quarters,” said Rick Dreiling, Dollar General’s chairman and CEO. “The combination of the right strategies, good execution and superior margin performance enabled us to effectively manage through a volatile quarter.”
Dreiling noted that sales accelerated in the last month of the quarter ended July 31 and have been encouraging one month into the third quarter. Accordingly, the company bumped up its full-year profitability forecast to a range of $1.68 to $1.74, a share from a prior range of $1.62 to $1.69 a share. Full-year same-store sales are expected to fall within a range of 4% to 6%.
At the midpoint in its fiscal year, Dollar General opened 315 new stores and relocated or remodeled 301 others, giving it a total of 9,113 units, which the company pointed out is more locations than any retailer in America.
BioMarin’s Pompe disease treatment gets orphan-drug designation
NOVATO, Calif. BioMarin Pharmaceutical on Monday announced its investigational treatment for a lysosomal storage disorder has received orphan-drug designation from the Food and Drug Administration.
The investigational drug BMN-701, designed to treat Pompe disease, has been submitted to the FDA for regulatory approval. Pompe disease is a progressive degenerative disease of the heart muscle, diaphragm and skeletal muscle.
“This [designation] emphasizes our mission of developing innovative, products for orphan diseases with an unmet medical need. We believe BMN-701 has the potential to possibly deliver more enzyme to lysosomes compared to traditional mannose-6-phosphate targeted approaches using the recently acquired GILT technology,” said Jean-Jacques Bienaime, BioMarin CEO.
Meijer launches digital coupon service
GRAND RAPIDS, Mich. Meijer has launched mPerks, its first digital coupon program.
By signing up at Mperks.meijer.com, shoppers can preview and select coupons for their favorite national or Meijer-brand products that are then stored in their personal mPerks account, the company reported. The applicable coupons are then instantly redeemed when shoppers code in their mobile phone number at checkout.
“With the advent of our new mPerks program, we’ve developed a smart and convenient way to keep more money in our customers’ pockets,” said Frank Guglielmi, director of public relations for Meijer. “No more clipping or printing of coupons. This is a faster and easier way to save money right at the register. We anticipate that this will be viewed quite favorably by a great many of our customers.”
Once a digital coupon is selected on the mPerks microsite, it will be active in the shopper’s personal account until redeemed or expired. At checkout, the mPerks member enters a mobile phone number, which will serve as his or her account number. Once the number is keyed in, it instantly triggers the coupon savings.
Meijer said it is considering additional features to be introduced in the coming months to offer increased convenience, selections and savings for mPerks members. To help spur enrollment in the new program, the retailer is offering customers who sign up for the service a $2 electronic coupon good towards their first purchase through Sept. 18.