Operating profit increased by 10.6 percent to $387 million and was essentially unchanged at 9.8 percent of sales. Excluding expenses resulting from secondary offerings of the Company’s common stock of $0.9 million in the 2012 period, operating profit increased 10.9 percent to $388 million.Gross profit, as a percentage of sales, was 32.0 percent in 2012 period compared to 32.1 percent in the 2011 period. The most significant factors positively affecting the gross profit rate in the 2012 second quarter were higher initial inventory markups, transportation efficiencies coupled with lower fuel cost, and the impact of a significant LIFO charge in the 2011 period. A heavier consumables weighting within the sales mix, higher markdowns and a lesser impact from price increases offset the improvements to the gross profit rate. The 2012 period reflects a LIFO benefit of $0.5 million compared to a provision of $10.7 million in the 2011 quarter.
Dollar General Corporation Reports Strong Second Quarter Results
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