09:06 AM EDT, 08/28/2025 (MT Newswires) -- Dollar General ( DG ) raised its full-year outlook on Thursday as the discount retailer recorded fiscal second-quarter results above market expectations.

Earnings are now set to be in a range of $5.80 to $6.30 per share for fiscal 2025, up from the company's previous projections of $5.20 to $5.80. The current consensus on FactSet is for $5.78. The stock rose 3.2% in the most recent premarket activity.

Sales are anticipated to grow between 4.3% and 4.8% year over year, compared with the prior guidance for a gain of 3.7% to 4.7%. Same-store sales are forecast to rise by 2.1% to 2.6% for the ongoing fiscal year, up from the previous outlook for a 1.5% to 2.5% increase. The Street is looking for sales of $42.4 billion and same-store sales growth of 2.3%.

"Looking ahead, we believe we have ample opportunity to drive growth and further improve our operating and financial performance, as we continue to work toward achieving the goals laid out in our long-term financial framework," Chief Executive Todd Vasos said in a statement.

Dollar General ( DG ) reported net income of $1.86 a share for the three months through Aug. 1, up from $1.70 the year before, topping the average analyst estimate on FactSet of $1.58. Sales improved 5.1% to $10.73 billion, ahead of the Street's view for $10.68 billion.

Same-store sales inclined 2.8%, above the 2.6% rise modeled by the market, buoyed by gains of 1.5% and 1.2% in customer traffic and average transactions, respectively. Same-store sales grew in each of the consumables, seasonal, home products and apparel categories, according to the retailer.

Gross profit as a percentage of sales rose by 137 basis points year over year to 31.3% in the quarter, boosted mainly by lower shrink, higher inventory markups and reduced inventory damages, the company said. Selling, general and administrative expenses increased to $2.77 billion from $2.51 billion on an annual basis.

"We are pleased with our strong second-quarter results, including earnings growth that significantly exceeded our expectations," according to Vasos. "Our improved execution, along with our progress advancing key initiatives, is resonating with both existing and new customers."