Skip to main content

A customer shops at the Dollarama in Vaughan, Ont.

JENNIFER ROBERTS/The Globe and Mail

Dollarama Inc. , Canada's largest operator of dollar stores, reported a market-beating third-quarter profit, helped mainly by sales from its new stores.

Dollarama, which went public in 2009, is growing quickly as bargain-hunting Canadians who flocked to its stores during the economic downturn, stayed on after the economy recovered.

Net income rose 33.5 per cent to $41.8-million, or 55 cents per share.

Story continues below advertisement

The company, which has more than 600 stores across Canada, saw sales rising 12.5 per cent to $400.3-million on contributions from the 51 new stores opened since October 2010.

Analysts on average had expected earnings of 53 cents a share, according to Thomson Reuters I/B/E/S.

Dollarama, whose investors include Bain Capital, said sales at stores open for at least a year, a key indicator for retailers, rose 5.1 per cent.

Shares of Montreal-based Dollarama, which have gained 20 per cent in value over the past three months, closed at $40.32 on Tuesday on the Toronto Stock Exchange.

Report an error
Tickers mentioned in this story
Unchecking box will stop auto data updates
Due to technical reasons, we have temporarily removed commenting from our articles. We hope to have this fixed soon. Thank you for your patience. If you are looking to give feedback on our new site, please send it along to feedback@globeandmail.com. If you want to write a letter to the editor, please forward to letters@globeandmail.com.

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff.

We aim to create a safe and valuable space for discussion and debate. That means:

  • Treat others as you wish to be treated
  • Criticize ideas, not people
  • Stay on topic
  • Avoid the use of toxic and offensive language
  • Flag bad behaviour

Comments that violate our community guidelines will be removed.

Read our community guidelines here

Discussion loading ...

To view this site properly, enable cookies in your browser. Read our privacy policy to learn more.
How to enable cookies