Shares of the company, which has agreed to buy
Family Dollar Stores Inc <FDO.N> for $8.5 billion, rose 3
Dollar General Corp <DG.N> countered with a $9.1 billion bid
that has been rejected by Family Dollar over antitrust concerns.
Dollar Tree, which like other discounters is facing competition
from small-format stores opened by big retailers such as
Wal-Mart Stores Inc <WMT.N>, will become the largest dollar
store chain if it pulls off its deal with Family Dollar.
Dollar Tree's same-store sales rose 5.9 percent in the third
quarter ended Nov. 1, beating the average analyst estimate of 4
percent, according to research firm Consensus Metrix.
The company said on Thursday it expected sales of $8.52
billion-$8.58 billion for the year ending January, up from its
previous forecast of $8.44-$8.55 billion.
Dollar Tree, which also operates Deal$ and Dollar Bills stores,
tightened its earnings forecast range to $2.97-$3.04 per share
Net income rose 6 percent to $133 million, or 64 cents per
share. Excluding items, the company earned 69 cents per share.
Net sales rose 11 percent to $2.1 billion.
Analysts on average had expected earnings of 64 cents per share
on revenue of $2.06 billion, according to Thomson Reuters
Dollar Tree's shares were trading at $64.50 premarket. Up to
Wednesday's close, they had risen 15.5 percent since July, when
the company made its bid for Family Dollar.
(Reporting by Sruthi Ramakrishnan in Bangalore; Editing by
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