Fred's Super Dollar's April sales up a rosy 9%

MEMPHIS, Tenn. – Fred's Super Dollar on Wednesday reported sales of $163.3 million, up 9%, for the four-week month of April ended May 2. Excluding last year's April sales from closed locations, total sales increased 14% for the month. Despite the effects of the recent West Coast shipping strike, abnormally cold weather in the company's region and the impact of an earlier Easter, comparable store sales for the month increased 0.7% compared with a decrease of 2.3% in April of last year, Fred's reported.

 

To account for the timing difference of an earlier Easter this year, which pushed holiday-related sales into March this year versus April last year, combined March and April total sales increased 5% to $356.8 million. Excluding sales from the stores closed in 2014, total sales increased 9% over the same two-month period in 2014.

 

Fred's total sales for the first three months of fiscal 2015 increased 2% to $510.1 million. Excluding sales of $21.8 million from closed stores in 2014, total sales increased 7% for the first quarter of 2015. On a comparable store basis, year-to-date sales increased 0.8% versus a 1.9% decrease for the year-earlier period.

 

"We are pleased that comparable sales for the first quarter were in line with our guidance and we welcome the boost provided by our recent EntrustRx acquisition in terms of specialty pharmacy sales," stated Jerry Shore, Fred's CEO. "As specialty pharmacy sales expand as a percentage of total sales, we reiterate that they typically carry lower margins compared with retail pharmacy sales. The pharmacy department has continued to experience positive comparable store sales and total script growth, while general merchandise sales did not follow the positive trend of sales to plan experienced in February and March," he said. "We anticipate that general merchandise departments will improve throughout the year as new merchandising and marketing strategies are implemented, and on a positive note, our average basket continues to increase."

 

During April, Fred's opened two Xpress pharmacy locations and two specialty pharmacy locations.