Dollarama Raises Canada Sales Forecast Amid Cost-of-Living Pressures
Dollarama increased its annual comparable sales growth forecast for Canada to 4%-4.5% as budget-conscious consumers shift toward affordable pantry and personal-care staples.
Dollarama raised its annual comparable sales growth forecast for Canada to between 4% and 4.5%, an increase from its previous estimate of 3% to 4%. The discount retailer reported second-quarter comparable sales in Canada rose 5.4%, driven by a 3.7% increase in customer traffic and a 1.7% rise in average transaction size.
Quarterly sales totaled $2.03 billion with earnings per share of $1.29, surpassing analyst expectations of $1.25. CEO Neil Rossy attributed the growth to consumers seeking dependable value for personal-care products and pantry staples as the cost of living increases.
Despite strong Canadian performance, the company expects its Australian segment to record a net loss in fiscal 2027 due to investments in business transformation. Additionally, the retailer faces uncertainty stemming from reciprocal tariffs and renewed trade tensions between Canada and the United States.
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