Dollarama Inc Experiences Rapid Growth and Success

By Bizclik Editor

Written BY: Kendall Conners

Everyone loves a good bargain, or so it seems. Dollarama, Canada’s largest operator of dollar stores has announced that it plans to open 50 new stores within the next year. Dollarama, which was founded in 1992, currently has 652 outlets throughout the nation, but by the end of the 2012 fiscal year it plans to have 700 outlets.

Dollarama, which went public in 2009, has experienced ground-breaking growth, with its shares up one percent and its revenue up 12 percent. This company grew quickly during the economic downturn when bargain-hungry Canadians flocked to its stores. But Dollarama was not just a passing fad, the economy has recovered and Dollarama is still as popular as ever.


* TD Raises Canada’s Economic Growth Forecast
* Canadian Dollar Sees International Return to Strength

According to Reuters, Dollarama says that its profit jumped 23 percent in its fourth quarter to C$42 million, or 56 Canadian cents a share. This is a major leap compared to the year before, which experienced profits of C$34 million, or 45 Canadian cents a share.

"Dollarama continues to show significant revenue growth and impressive profitability," Versant Partners analyst Neil Linsdell said, according to Reuters. "We expect this growth to continue."

But will Dollarama face some competition from another dollar-store tycoon? While Dollarama has been the leader in the Canadian dollar-store industry, it could face some competition from Dollar Tree Inc, a US chain that took over Canada’s Dollar Giant Store Ltd.

But competition or not, there is no doubt that Dollarama has proved to be wildly successful throughout Canada. With its rapid growth and increased revenue, Dollarama is here to stay as a dominant player in the dollar-store industry.


Featured Articles

Amelia DeLuca, CSO at Delta Air Lines on Female Leadership

Driving decarbonisation at Delta Air Lines, Chief Sustainability Officer Amelia DeLuca discusses the rise of the CSO and value of more women in leadership

Liz Elting – Driving Equality & Building Billion-$ Business

Founder and CEO Liz Elting Turned Her Passion into Purpose and Created a Billion-Dollar Business While Fighting for Workplace Equality – and Winning

JPMorgan Chase: Committed to supporting the next generation

JPMorgan has unveiled a host of new and expanded philanthropic activities totalling US$3.5 million to support the development of apprenticeship programmes

How efficient digital ecosystems became business critical

Technology & AI

Mastercard: Supporting clients at a time of rapid evolution

Digital Strategy

Why Ceridian has boldly rebranded to Dayforce

Human Capital