Dollar General Corporation: Company Profile and SWOT Analysis

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					Dollar General Corporation

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Dollar General Corporation                                                          Financial Snapshot

                                                                                    Operating Performance
Fast Facts
                                        100 Mission Ridge , Goodlettsvile , 37072   The company reported revenues of US$13,035.00
Headquarters Address
                                        ,United States of America                   million during 2011, with a CAGR of 9.19% during
                                                                                    2007–2011. Its revenue grew at an annual rate of
Telephone                               N/A
                                                                                    10.50% over the previous fiscal year. In 2011, the
                                                                                    company recorded an operating margin of 9.77%, as
Fax                                     N/A                                         against 8.08% in 2010.

Website                                 N/A
                                                                                    Revenue and Margins
Ticker Symbol, Stock Exchange           DG, New York Stock Exchange

Number of Employees                     86,000

Fiscal Year End                         January

Revenue (in US$ million)                13,035.00




SWOT Analysis

Strengths                               Weaknesses                                  Return on Equity

Efficient pricing strategy              Dependence on third party suppliers         The company recorded a return on equity (ROE) of
                                                                                    15.49% for 2011, as compared to its peers, Dollar
                                                                                    Tree, Inc. (Ticker: DLTR), 99 Cents Only Stores
Improving profitability                 Limited geographical operations             (Ticker: NDN) and Fred''s, Inc. (Ticker: FRED), which
                                                                                    recorded ROEs of 27.23%, 10.90% and 6.98%
Strong liquidity position                                                           respectively. The company reported an operating
                                                                                    margin of 9.77% in 2011.
Strong presence in the US
                                                                                    Return on Equity
Opportunities                           Threats

Expansion of store network              Aggressive expansion of competitors

Growth in e-retail                      Increase in organized retail crime

Improvement in retail sales in the US   Rising manpower costs




                                                                                    Liquidity Position

                                                                                    The company reported a current ratio of 1.73 in 2011,
                                                                                    as compared to its peers, Dollar Tree, Inc., 99 Cents
                                                                                    Only Stores and Fred''s, Inc., which recorded current
                                                                                    ratios of 2.50, 3.51 and 0.00 respectively. As of
                                                                                    January 2011, the company recorded cash and short-
                                                                                    term investments of worth US$497.45 million, against
                                                                                    US$1.16 million current debt. The company reported
                                                                                    a debt to equity ratio of 0.81 in 2011 as compared to
                                                                                    its peers, Dollar Tree, Inc., 99 Cents Only Stores and
                                                                                    Fred''s, Inc., which recorded debt to equity ratios of
                                                                                    0.18, 0.00 and 0.00 respectively.




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Dollar General Corporation - SWOT Profile                                                                                   Page 1
Dollar General Corporation

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TABLE OF CONTENTS

1     Business Analysis ................................................................................................................................... 5
    1.1     Company Overview .................................................................................................................................................5
    1.2     Business Description ...............................................................................................................................................5
    1.3     Major Products and Services ...................................................................................................................................6
2     Analysis of Key Performance Indicators ............................................................................................... 7
    2.1     Five Year Snapshot: Overview of Financial and Operational Performance Indicators ...........................................7
    2.2     Key Financial Performance Indicators ...................................................................................................................10
      2.2.1        Revenue and Operating Profit .......................................................................................................................10
      2.2.2        Asset, Liabilities and Capex ..........................................................................................................................11
      2.2.3        Net Debt vs. Gearing Ratio ............................................................................................................................12
      2.2.4        Operational Efficiency ....................................................................................................................................13
      2.2.5        Solvency ........................................................................................................................................................14
      2.2.6        Valuation ........................................................................................................................................................15
    2.3     Competitive Benchmarking ....................................................................................................................................16
      2.3.1        Market Capitalization .....................................................................................................................................16
      2.3.2        Efficiency .......................................................................................................................................................17
      2.3.3        Capital Expenditure .......................................................................................................................................18
      2.3.4        Valuation ........................................................................................................................................................19
      2.3.5        Turnover – Inventory and Asset ....................................................................................................................20
3     Mergers & Acquisitions and Partnerships ........................................................................................... 21
    3.1     M&A and Partnerships Strategy ............................................................................................................................21
4     
				
DOCUMENT INFO
Description: This SWOT analysis and company profile is a crucial resource for industry executives and anyone looking to gain a better understanding of the company's business. ICD Research's "Dollar General Corporation: Company Profile and SWOT Analysis" report utilizes a wide range of primary and secondary sources, which are analyzed and presented in a consistent and easily accessible format. ICD Research strictly follows a standardized research methodology to ensure high levels of data quality and these characteristics guarantee a unique report.
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