Family Dollar Q4 profit up 13%

Family Dollar Stores on Wednesday said its fiscal fourth-quarter profit rose 13%, beating Wall Street expectations as a weak economy drove consumers to seek value at its stores.

Profit climbed to $60.1 million, from $53.2 million in the same period a year ago.

Sales rose 3% to $1.81 billion from $1.77 billion. Same-store sales rose 1%.

For the fiscal year ended Aug. 19, profit rose 25% to $291.3 million, from $233.1 million last year.

Sales grew 6% to $7.4 billion from $6.98 billion. Same-store sales increased 4%.

"Despite the challenges resulting from a rapidly changing economic environment, our team has delivered a strong performance this year," Howard R. Levine, chairman and CEO, said in a statement. He noted improvements in customer traffic, inventory and employee retention.

Family Dollar operates more than 6,600 stores in 44 states.