Dollar General says it closed almost 100 stores in the fourth quarter but its sales actually went up—and Wall Street is loving it

The closure of stores can often be a sign of a retail dealer in a period of struggle. Take Colls, for example, who closed about twenty stores earlier this year and published a Displayed profits report this week.

Public dollar It is Back this trend. The retail seller told Fortune 500 on Thursday during which Profit report It closed 96 sites in the fourth quarter that ended in late January, but its net sales actually increased by 4.5 % to $ 10.3 billion. Throughout the year 2024, net sales jumped by 5.0 % to $ 40.6 billion. The stocks rose more than 3.5 % in the middle of Thursday.

The general dollar witnessed a stronger growth of traffic during the second half of the fourth quarter of the fiscal year 2024, according to the data from Placeer.ai Introduction to luck. Consumers may have been more aware of the costs after holidays and are seeking to get the opponent retail dealers, as Elizabeth Lavontin, research manager at Stile Intelligence and Place.AI, Place.AI, luck.

“There was appetite for consumers for low -price offers that focus on value over the past year, which could only grow against the background of consumer feelings and possible changes to shoppers.”

Placer.ai data also shows that the public dollar exceeds retailers and other dollar in terms of traffic, although many companies in this category excel well in the light of customers looking for deals amid inflation and economic uncertainty.

Nicole DehuoriusProfessional Training Professor in Colombia Business CollegeHe said in this inflationary prices, families are looking for ways to achieve the maximum benefit from their budget, and shopping in stores like Dollar General allows them to do so.

“Click on Family Budgets – Current Foot Economic uncertaintyThis is likely to continue, due to retailers who are able to provide value to consumers who must come out. ” luck.

In late February, Michigan University Consumer feeling index Come with it Recite Since November 2023. concerns about inflation and definitions imposed by President Donald Trump have affected consumer confidence, and have also sent stocks in the past two weeks.

However, the CEO of Dollar General Todd Vasos seemed confident that the retail seller could bring any tariff for influence.

“We believe that we are in a good position to mitigate the effect [of tariffs] In 2025, Vasos said during a call of Thursday. “We were able to successfully alleviate the impact of the customs tariff in 2018 and 2019.”

However, Vasos admitted that the company “has got an increase in retail prices in some cases, along with others throughout the industry” in 2018 and 2019.

“Given the actual financial situation already for our basic customers, we are closely watching this and any other possible windows, including any changes to government entitlement programs,” Vasus said.

At the same time, the other retailers are discount, including Wal MartSigns of struggle appear. Although Walmart published another quarter of growth In late February, her forecast was 2025, which sent stocks at the time. Walmart shares decreased by 18 % of their peak on February 19 at $ 104 per share.

“Our outlook assumes the relatively stable macroeconomic environment, but it acknowledges that there are still cases of uncertainty related to consumer behavior and global economic and biological conditions,” said John David Riny, Financial Director at Wall Mart, John David Riny, during the company’s profit in late February.

Arrows for Dollar treeAnother series of Fortune 500 discounts, also decreased about 15 % since the beginning of the year.

Dollar General also plans to expand in 2025. Part of the company’s plan to close approximately 100 poor -performance stores – which represented less than 1 % of the company’s total fingerprint – to customize resources for new stores. The company plans to open 575 stores and reshape around 4,250 in 2025.

This story was originally shown on Fortune.com