Dollarama Q4 Earnings Call Highlights

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MarketBeat

Tue, March 24, 2026 astatine 11:37 AM CDT 10 min read

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  • Dollarama met oregon exceeded fiscal 2026 guidance: consolidated income roseate 13.1% to CAD 7.3 cardinal and full‑year diluted EPS accrued 13.7% to CAD 4.73, portion Canadian same‑store income grew 4.2% for the twelvemonth contempt Q4 upwind and calendar headwinds (Q4 SSS +1.5%).

  • International enlargement is driving maturation but costing adjacent term: Dollarcity delivered beardown top‑line and borderline enlargement successful Latin America, yet Mexico is loss‑making (100% ground Q4 nett nonaccomplishment $5.4M, FY $11.7M; FY27 usher $10M–$20M loss) and the Australia acquisition volition incur AUD35–45M of integration costs and multi‑year translation losses.

  • Capital allocation balances maturation and returns: the institution repurchased >4.4M shares for CAD 834.2M, raised the quarterly dividend 13.4% to CAD 0.12, plans 60–70 nett caller Canadian stores successful fiscal 2027 (long‑term people 2,200 by 2034), and expects CAD 420–470M of Canadian capex portion flagging supply‑chain and vigor outgo risks to margins.

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Dollarama (TSE:DOL) said it met oregon exceeded its fiscal guidance targets for fiscal 2026, arsenic the discount retailer delivered same-store income maturation successful Canada and expanded its planetary footprint done Dollarcity’s introduction into Mexico and the acquisition of an Australian discount chain.

President and CEO Neil Rossy said fiscal 2026 Canadian same-store income accrued 4.2% and net per stock roseate astir 14% twelvemonth implicit year. Chief Financial Officer Patrick Bui reported consolidated fourth-quarter income roseate 11.7% to CAD 2.1 billion, noting the 4th included 1 little week than the anterior year. Full-year income accrued 13.1% to CAD 7.3 billion, driven by contributions from Australia, a larger store base, and same-store income maturation successful Canada.

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Diluted EPS accrued 2.1% successful the 4th fourth to CAD 1.43, which included a CAD 0.03 affirmative interaction from Australia, Bui said. For the afloat year, EPS roseate 13.7% to CAD 4.73.

Management emphasized that upwind weighed connected fourth-quarter show successful Canada. Rossy said unfavorable conditions crossed the state wounded postulation and highest income periods done the extremity of January, but the institution inactive delivered 1.5% same-store income maturation successful the quarter.

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Bui said fourth-quarter same-store income maturation of 1.5% was driven chiefly by request for seasonal products, but was offset by 2 cardinal factors: a calendar displacement and weather. Dollarama’s fiscal 2026 was a 52-week twelvemonth pursuing a 53-week twelvemonth successful fiscal 2025, which resulted successful 1 little “historically strong” pre-holiday week and an further “historically low” income week astatine the extremity of January, Bui said. The 4th besides included 4 less pre-Halloween buying days than the anterior year, which were recorded successful the 3rd 4th this year. Excluding the calendar impact, helium said same-store income would person been 3.5%.

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