Dollarama Profit Surges as International Expansion Gains Traction

The company reported earnings of C$1.11 per share, a significant jump from the C$0.98 recorded during the same period last year and well above the C$0.99 consensus estimate from analysts polled by FactSet. Total sales rose 21.4% to C$1.85 billion, fueled by a 5.6% increase in same-store sales within Canada. This domestic growth was driven by a 3.5% rise in transaction volume and a 2% increase in average ticket size, reflecting persistent consumer appetite for consumables and general merchandise.

International operations are becoming a structural pillar of the firm’s financial health. The Australian market, anchored by the recent acquisition of The Reject Shop, contributed C$192.8 million to revenue as the company opened eight net new stores and overhauled 13 existing locations. Meanwhile, the Dollarcity banner in Latin America provided a C$51.2 million boost to net earnings through the company’s majority stakes in operators across Colombia, El Salvador, Guatemala, and Peru. Despite these gains, Dollarama maintains a cautious fiscal 2027 outlook, anticipating continued investment-related losses in Australia as it scales its footprint in that region.