Dollar General Corporation, a discount retailer, provides various merchandise products in the southern, southwestern, Midwestern, and eastern United States. It offers consumable products, including paper and cleaning products, such as paper towels, bath tissues, paper dinnerware, trash and storage bags, disinfectants, and laundry products; packaged food comprising cereals, pasta, canned soups, fruits and vegetables, condiments, spices, sugar, and flour; and perishables that include milk, eggs, bread, refrigerated and frozen food, beer, and wine. The company's consumable products also comprise snacks, such as candies, cookies, crackers, salty snacks, and carbonated beverages; health and beauty products, including over-the-counter medicines and personal care products, such as soaps, body washes, shampoos, cosmetics, and dental hygiene and foot care products; pet supplies and pet food; and tobacco products. In addition, it offers seasonal products comprising holiday items, toys, batteries, small electronics, greeting cards, stationery, prepaid phones and accessories, gardening supplies, hardware, and automotive and home office supplies; and home products that include kitchen supplies, cookware, small appliances, light bulbs, storage containers, frames, candles, craft supplies and kitchen, and bed and bath soft goods. Further, the company provides apparel, which comprise casual everyday apparel for infants, toddlers, girls, boys, women, and men, as well as socks, underwear, disposable diapers, shoes, and accessories. As of February 25, 2022, it operated 18,190 stores in 47 states in the United States. The company was formerly known as J.L. Turner & Son, Inc. and changed its name to Dollar General Corporation in 1968. Dollar General Corporation was founded in 1939 and is based in Goodlettsville, Tennessee.
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1. A smaller, ultra-discount version of Walmart, often located in small towns and rural areas.
2. Like an extreme-value general store, similar to Aldi or Lidl but with a broader range of household goods alongside groceries.
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- Consumables: This category includes everyday essentials such as paper and cleaning products, packaged food, perishables, health and beauty aids, and pet supplies.
- Seasonal Products: These are items related to various holidays, seasonal events, and celebrations, as well as outdoor and garden supplies.
- Home Products: This category features household items including kitchenware, small appliances, home décor, and basic domestic goods.
- Apparel: Dollar General offers a range of basic clothing items for men, women, and children, including socks, underwear, and casual wear.
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Dollar General (symbol: DG) sells primarily to individuals, not to other companies. As a discount retail chain, its business model focuses on direct sales to consumers.
The company serves the following categories of customers:
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Value-Driven Consumers / Lower-to-Middle Income Households: This represents a core segment of Dollar General's customer base. These individuals and families are often highly price-sensitive, living on fixed or limited incomes, and rely on Dollar General for everyday necessities such as food, household goods, and personal care items at affordable prices. They prioritize obtaining maximum value for their money.
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Rural and Underserved Urban Shoppers / Convenience Seekers: Dollar General strategically places many of its stores in smaller towns, rural areas, and urban neighborhoods that may lack easy access to larger supermarkets or other retail options. These customers value the convenience and proximity of Dollar General for their daily and weekly shopping needs, often using it as a primary or essential secondary shopping destination due to its accessibility.
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Supplemental Shoppers / Bargain Seekers: This category includes consumers who might frequent Dollar General for specific discounted items, impulse purchases, seasonal goods, or quick fill-in trips between larger grocery hauls. They appreciate the availability of low-priced items and the convenience of a nearby store for a few essential items, complementing their main shopping at other retailers.
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Todd Vasos Chief Executive Officer
Todd Vasos returned to Dollar General as Chief Executive Officer in October 2023, having previously served as CEO from June 2015 to November 2022. He was a member of Dollar General's Board of Directors since 2015. Vasos first joined Dollar General in 2008 as Executive Vice President, Division President and Chief Merchandising Officer and was promoted to Chief Operating Officer in November 2013. Before his tenure at Dollar General, he held leadership positions with Longs Drug Stores Corporation, Phar-Mor Food and Drug Inc., and Eckerd Corporation. During his initial seven-year term as CEO, Dollar General significantly expanded its store base, increased annual sales revenue by over 80%, and more than doubled its market capitalization. Vasos has also served as a director of KeyCorp since July 2020.
Donny Lau Executive Vice President and Chief Financial Officer
Donny Lau was appointed Executive Vice President and Chief Financial Officer of Dollar General, effective October 20, 2025. Prior to this role, he served as the Chief Financial Officer of Zaxby's. Lau has extensive prior experience with Dollar General, having held various leadership positions including Senior Vice President of Finance and Chief Strategy Officer.
Steve Deckard Executive Vice President, Strategy and Development
Steve Deckard serves as the Executive Vice President of Strategy and Development at Dollar General.
Tracey Herrmann Executive Vice President, Store Operations
Tracey Herrmann holds the position of Executive Vice President of Store Operations at Dollar General.
Kathy Reardon Executive Vice President and Chief People Officer
Kathy Reardon is the Executive Vice President and Chief People Officer for Dollar General.
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One clear emerging threat for Dollar General (DG) is the significant and
escalating issue of "shrink" (inventory loss due to theft, damage, and
operational errors). Dollar General's management has explicitly and repeatedly
highlighted increased shrink as a major and growing headwind in recent
earnings calls (e.g., Q3 2023), identifying it as a primary driver of reduced
gross margin rates and a substantial challenge impacting overall
profitability. For a low-margin discount retailer, the intensifying severity
of shrink poses a systemic threat to its operational sustainability and its
ability to maintain competitive pricing, which is fundamental to its business
model.
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Dollar General (DG) operates primarily as a discount retailer offering a wide array of products across several key categories. The addressable markets for its main products and services in the U.S. are substantial.
- Dollar & Variety Stores Market: The overall market size for Dollar & Variety Stores in the U.S. was approximately $116.9 billion in 2024 and is projected to reach $119.2 billion in 2025.
- Consumables (including food, snacks, health and beauty aids, cleaning supplies, paper products, and pet products): This category represents the largest portion of Dollar General's sales. The U.S. grocery retail market, which encompasses a significant portion of these consumables, is valued at over $900 billion in 2025. Separately, total in-store convenience store sales in the U.S. are estimated at $297 billion in 2024, a market where Dollar General's consumable offerings also compete.
- Seasonal and Home Products (including seasonal items, home decor, housewares, and small furniture): The U.S. home decor market size is estimated at $215.21 billion in 2025.
- Apparel (including basic apparel, underwear, and disposable diapers): The U.S. apparel market is valued at approximately $395 billion in 2025.
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Expected Drivers of Future Revenue Growth for Dollar General (DG)
Dollar General (DG) is anticipated to drive future revenue growth over the next 2-3 years through a combination of strategic initiatives focused on store expansion, operational enhancements, and digital penetration. These drivers are underpinned by the company's commitment to its "Back to Basics" strategy, aiming to improve fundamental aspects of its business and cater to its core customer base seeking value.
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New Store Growth and Market Expansion: Dollar General continues to expand its physical footprint by opening new stores, including its traditional Dollar General stores, DG Market, DGX, and pOpshelf formats. The company is also venturing into new markets, such as Mexico, with its Mi Súper Dollar General stores. This consistent store expansion directly contributes to increased sales volume and market penetration.
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Enhancement of Same-Store Sales (Comparable Sales): A key focus for Dollar General is to boost sales at existing locations through initiatives that increase customer traffic and average transaction amounts. Efforts include improving in-stock levels, enhancing customer service, and optimizing merchandising to ensure products align with local customer demand. The company reported a 1.3% increase in same-store sales in Q3 2024, driven by growth in both average transaction amount and customer traffic.
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Store Remodels and Relocations (Project Elevate and Project Renovate): Significant investments are being made in remodeling and relocating existing stores through programs like "Project Elevate" and "Project Renovate." These initiatives aim to modernize stores, enhance the shopping experience, and improve operational efficiency. Project Elevate remodels are specifically designed to bolster performance in mature stores, with an expected first-year annualized comparable sales lift ranging from 3% to 5%.
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Digital and E-commerce Expansion: Dollar General is growing its digital capabilities, including expanding delivery services through partnerships with DoorDash and Uber Eats, as well as its in-house same-day delivery service. The integration of SNAP and EBT for online orders further broadens customer access and taps into new segments, driving online revenue growth.
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"Back to Basics" Strategy and Operational Efficiencies: The company's "Back to Basics" strategy is critical, emphasizing improvements in store execution, inventory management, and shrink mitigation. This strategy, which includes SKU rationalization to focus on high-velocity items, aims to streamline assortments, reduce costs, improve gross margins, and enhance the overall customer experience, particularly in its strong consumables category.
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Share Repurchases
- Dollar General did not repurchase any shares under its share repurchase program in fiscal year 2024, as planned.
- The company's financial guidance for fiscal year 2025 also assumes no share repurchases.
- In previous years, Dollar General executed significant share repurchases, with $2.748 billion in 2023 and $2.55 billion in 2022.
Capital Expenditures
- Dollar General expects capital expenditures to be in the range of $1.3 billion to $1.4 billion for fiscal year 2025.
- Planned capital expenditures for 2025 are primarily focused on approximately 4,885 real estate projects, including opening 575 new stores in the U.S. and up to 15 in Mexico, completing 2,000 Project Renovate remodels, 2,250 Project Elevate remodels, and relocating 45 stores. These investments also support supply chain initiatives and technology upgrades.
- Actual capital expenditures were approximately $1.7 billion in 2024, $1.561 billion in 2023, and $1.07 billion in 2022, supporting store expansions, remodels, and distribution projects.
