Family Dollar Stores posted a 25% net income increase to $291.3m (£178.2m) for the financial year ending August 29, up on the $233.1m (£142.6m) reported the year earlier.

Operating profit, as a percentage of sales, was 6.1% for the period compared with 5.2% last year. Sales were $7.4bn (£4.5bn), a 6% increase on the previous year. Like-for-like sales increased 4%

The increase in like-for-likes was the result of higher customer traffic, as measured by the number of register transactions and an increase in the value of the average customer transaction. Sales for this financial year were strongest in the consumables category. The retailer opened 180 stores and closed 96 during the year.