Family Dollar sees momentum in 3Q

-- Home Textiles Today, 6/4/2009 11:56:00 AM

Matthrews, N.C. – Family Dollar’s third quarter sales rose 8.2% to $1.84 billion, the company announced today.

Comp sales at the 6,654-unit chain increased 6.2%. Family Dollar opened 26 new stores during the quarter.

”Our sales momentum continued through the third quarter, with comparable store sales increasing more than 7% through the first twelve weeks of the quarter. As expected, the last week of the reporting period was adversely affected by a shift of the first-of-the month money flow and our corresponding advertising into the June period,” said Howard Levine, chairman and ceo.

Strong consumables sales – up 13% -- offset ongoing weakness in discretionary categories, although Levine said the latter showed signs of improvement.

Family Dollar said it now expects earnings per diluted share for the third quarter will be at or above the upper end of its previously provided guidance of 54 cents to 58 cents.