Dollar store reports sales record as bargain shops attract anxious buyers

By MICHELLE CHAPMAN, AP Business Writer

Dollar General set a quarterly sales record of $10.44 billion and upgraded its annual profit and sales outlook as Americans tighten their budgets and spend more at bargain stores and off-price retailers amid economic uncertainty.

The U.S. economy shrank at a 0.2% annual pace from January through March, the first drop in three years, as President Donald Trump’s trade wars dented spending by businesses. Consumer spending slowed sharply.

For the period ending May 2, Dollar General’s sales climbed 5% to $10.44 billion from $9.91 billion. That’s better than the $10.29 billion that Wall Street was expecting, according to a poll by Zacks Investment Research.

Sales at stores open at least a year, a key indicator of a retailer’s health, increased 2.4%.