Financial Analysis of Dollarama (TSE:DOL) by Jawwad Siddiqui as of November 30th, 2011.

1. Financial Analysis of
(TSE:DOL)
November 30th, 2011
Team Members:
Jawwad Siddiqui
Zubair Kaisar
Andy Han
Bill Mei
Jawwad Siddiqui – siddiqui.m@queensu.ca Page 0

2. Contents
Introduction...................................................................................................................................... 2
Future Goals ................................................................................................................................................................ 3
Financial Statement Analysis ............................................................................................................................... 4
Horizontal Analysis ............................................................................................................................................. 4
Vertical Analysis ................................................................................................................................................... 4
Liquidity Ratios ..................................................................................................................................................... 5
Solvency Ratios ..................................................................................................................................................... 6
Activity Ratios ........................................................................................................................................................ 6
Profitability Ratios ............................................................................................................................................... 6
Benchmarking and Investment Ratios ............................................................................................................. 7
Common-Size Comparison ............................................................................................................................... 8
Ratio Comparison ................................................................................................................................................. 8
Dividend Yield........................................................................................................................................................ 9
Highlights and Conclusions ................................................................................................................................... 9
Appendix 1 – Financial Statements................................................................................................................. 11
Income Statement - Vertical Analysis ....................................................................................................... 11
Income Statement – Horizontal Analysis................................................................................................. 11
Balance Sheet – Vertical Analysis ............................................................................................................... 12
Balance Sheet- Horizontal analysis ............................................................................................................ 13
Appendix 2 – Ratio Calculations....................................................................................................................... 14
Appendix 3 ................................................................................................................................................................ 15
Bibliography ............................................................................................................................................................. 15
Page 1

3. Established in 1992, Dollarama is one of the largest value retail stores in Canada. Presently,
they employ over 13,000 employees and have 667 locations across the country. Dollarama provides
its customers with a variety of consumer products, general merchandise, and seasonal items. Its
customers are able to find a consistent shopping experience with affordable products in convenient
locations. The company is the market leader in dollar stores, and are constantly seeking
opportunities to expand.
Some of Dollarama’s competitors include Dollar Store With More, Great Canadian, and Dollar
Giant. Dollarama has performed well with respect to its competition; the company has five times as
many stores as their next best competitor Dollar Store With More. The Canadian dollar store
industry can be characterized as monopolistic competition—each company offers different price
ranges, merchandise mix, different consistencies of product offerings, store layouts, and locations.
Dollarama’s strategy is to differentiate themselves from the rest of the market by holding a selection
of nationally branded products, offering a more consistent product selection, and offering a unique
seasonal theme.
Within the value retail industry in Canada, there is plenty of opportunity to grow. There are
31,100 people per dollar store in Canada, whereas in the United States there are only 14,500 people
per dollar store. However, even with the success of the business model there are always risks within
any corporation. An important risk that Dollarama faces is in managing their operating costs. Cost
factors such as merchandise costs, foreign exchange rate fluctuations, lease costs, and inflation all
contribute to the profitability of the company. If any of these costs were to increase, it would
decrease their profits, hurt their margins, and reduce their cash inflows. More recently, Dollarama
has increased their price points for certain products to $1.25, some to $1.50, and others to $2.00.
This was implemented to offset any additional costs from the market that was beyond their control.
However, there is no assurance that increasing the prices of certain products will continue to cover
Page 2

4. additional costs in the future—they have a limited range in which to price products due to their
branding as a “dollar” store.
Beyond these risks, Dollarama Inc. as a business has performed very well. They have
employed thousands of workers, offering a variety of convenient products and expanding by
opening 43 new stores on average every year since 2002. Many analysts would argue that
Dollarama is one of the most valuable businesses for the Canadian economy.
Dollarama Inc. has experienced consistent growth and plan on building even more stores in
Canada, particularly outside of Ontario and Quebec where most of their current operations are
located. The company has 261 stores in Ontario and 221 stores in Quebec which represents roughly
75% of their total retail outlets. There is plenty of opportunity to expand in western Canada as there
is not a clear market leader for dollar stores established in the west.
The company will approach its expansion by hiring and training additional workers and
retaining an increasing number of qualified employees. Retail outlets generally have a high rate of
labour turnover, and one of Dollarama’s key management strategies is to reduce their turnover rate.
They believe that their employees are the most important part of their business, and investing more
in them will yield great benefits in the long-run.
Just as the company plans to invest in its employees, it is also planning to invest more in its
warehouses and distribution centers. Upgrading Dollarama’s warehouses and distribution centres
in an efficient and economic manner is an important stepping stone to expanding their business.
Dollarama achieves its highest sales during the Christmas holiday season, but also around
other holidays such as Halloween, Valentine’s Day, and Easter. It aims to capitalize more heavily on
these trends to generate maximum revenues in an operating cycle.
Page 3

5. A horizontal analysis was performed by taking the value of key accounts from the fiscal
years 2009 to 2011. A horizontal analysis is used to study percentage changes in key indicators of
the company which tell us how the company is performing overall.
The horizontal analysis of the income statement shows that total sales increased 15.1% in
2010 and 30.4% in 2011. This was greater than the 11.9% increase in cost of sales in 2010 and
25.2% increase in 2011. This results in Dollarama’s net income increasing consistently over the last
two years, at 570% in 2010 and 853.5% in 2011 respectively. This successful outcome is likely due
to the expanding nature of their business. With increased costs that come with expanding, there is
also opportunity for increased income.
On the balance sheet, horizontal analysis shows that the total assets of the company
decreased by 3% in 2010 and 3.8% in 2011. The liabilities of the company have also decreased by
43.9% in 2010 and 54.6% in 2011. This may be due to selling an asset, such as a piece of real estate
or equipment on which there is debt (a liability) that is paid off when sold. In this scenario, the
company would first sell the asset and receive cash. This increases cash (asset) and decreases
equipment (asset). Then the cash is used to pay the outstanding debt. This decreases debt (liability)
and decreases cash (asset). However, due to the small decrease in assets compared to the large
decrease in liabilities, a more likely scenario is that the company is using excess cash generated
from operations to pay off its debt, explaining the large decrease in liabilities on the company’s
balance sheet.
A vertical analysis was performed from the fiscal years 2010 to 2011. A vertical analysis is
used to analyze a financial statement that depicts the relationship between each statement account
Page 4

6. to the specified base. In Dollarama’s analysis the bases were sales for the income statement and
total assets and total liabilities and shareholders’ equity for the balance sheet.
The vertical analysis on the consolidated income statement shows an increase in the
percentage of net earnings from 2010 to 2011. This is due to the decrease in the percentage of cost
of sales from 2010 to 2011 (from 87.8% to 85.5%). The operating income was 2.3% higher by
margin in 2011. The lower percentage ratio of cost of sales to sales in 2011 indicates that Dollarama
used their resources efficiently and had a better fiscal year in 2011 than in 2010. The specified base
to compare each account from the statement is revenue.
Vertical analysis on the consolidated balance sheet shows that cash and cash equivalents
holdings in percentage ratio to the assets has decreased (from 7% to 4.05). This has a direct
correlation with long-term debt (liability) decreasing significantly (from 35.4% to 26.5%). Overall
liabilities have decreased from 53.5% to 43.7% in ratio to the total liabilities and shareholders’
equity. This indicates that Dollarama has paid off a lot of their debt with the cash they had available
in 2011. Overall the specified bases to compare each account from the statement are total assets and
total liabilities and shareholders’ equity.
Dollarama’s working capital increased dramatically from 58.38 million in 2008 to 258.26
million in 2009, then dropped significantly to 178.51 million in 2010 and later grew to 182.74
million in 2011. The working capital is a measure of a company’s operating liquidity – it ensures
that the company will have sufficient funds to cover short-term debt and future operating expenses.
Dollarama’s significant growth in working capital indicates that the company has much flexibility its
operating initiatives.
The acid test ratio in 2008 was very low at 0.22, then increased dramatically to 0.75 in 2009
and slowly diminished to 0.63 and 0.44 in 2010 and 2011 respectively. The acid test ratio illustrates
a company’s ability to cover immediate liabilities with short-term assets not including inventory.
Page 5

7. Dollarama’s acid test ratio has been consistently under 1, and has been steadily decreasing in 2010
and 2011 – this suggests that much of Dollarama’s assets are dependent on inventory; the company
will be unable to pay off current liabilities without the sale of its inventory.
Dollarama’s debt ratio has be decreasing from 0.948 in 2008 to 0.437 in 2009; as a measure
of leverage, the declining debt ratio shows that Dollarama has been de-leveraging themselves. While
this may be beneficial in terms of reducing interest expenses and minimizing risk exposure to the
credit markets, failing to leverage enough of the business may lead to lower returns. The times-
interest earned ratio reflects this deleveraging as well—it has increased steadily from 1.31 in 2008
to 5.91 in 2011, showing that Dollarama's operating income is increasing much faster than its
interest expense and is able to finance expansion at a rate that outstrips its cost of debt.
Dollarama’s inventory turnover increased steadily from 2.92 to 3.03 to 3.33 in 2009, 2010,
and 2011 respectively. The inventory turnover ratio demonstrates how many times the company’s
inventory is sold and replaced over time. In Dollarama’s case, growing inventory turnover ratios
suggest that inventory is being sold faster. The accounts receivable turnover cannot be calculated
because the company does not have any credit sales.
Dollarama’s return on sales increased from 5.15% in 2008 to 8.23% in 2011, with a
decrease to –1.42% in 2009 when the company reported a net loss. The return on sales is an
important measure of the company’s ability to control its costs, and a higher return represents
greater efficiency. Dollarama’s strong growth in return on sales over the past four years shows that
the company is becoming more profitable and is able to grow revenues faster than expenses. Since
Page 6

8. Dollarama’s debt ratio has declined, an analysis of its return on equity would not reflect profit-
driven results, since the company’s equity base has increased relative to its total assets.
Dollar Tree (NASDAQ:DLTR), with 85 corporate stores in Canada, can be regarded as the
only significant single competitor for Dollarama.1 The next most significant competitor as stated in
their annual reports is “Your Dollar Store and More”, which is not publicly traded and uses a
franchise business model unlike Dollarama’s corporate owned stores. Furthermore, on November
2010, Dollar Tree acquired 86 stores of Canadian Dollar Giant stores; this makes it clear the
company has plans in the near future to further penetrate the Canadian market. Beyond that, there
are no large identifiable competitors with which to compare Dollarama. The rest of the dollar-store
market is highly fragmented and consists of private chains, local businesses, and mom-and-pop
dollar stores—thus, no industry averages are publicly available. We cannot compare Dollarama to
more general retail stores and department chains such as Wal-Mart since their target markets are
not the same and they do not have the same primary driver of revenues and different business
models. Wall-Mart’s core capability comes from its supply chain, while Dollarama’s core capability
comes from its ability to maintain margins even at the discount level. Due to the reasons above and
the similarities between Dollarama and Dollar Tree’s business model, we have chosen Dollar Tree as
the key competitor to compare Dollarama against.
1(Pett, D (2010, Oct 13th) Dollarama should with stand competition from Dollar Tree, National Post, pp. FP. 9.
Retrieved from http://search.proquest.com/docview/758535937?accountid=6180)
Page 7

9. Common sized income statement compared with a key competitor
Dollarama Inc.
Common-Size Income Statement (Adapted) for Comparison With a Key Competitor
For the years ended as Indicated
Dollar Tree Inc (Adapted) Dollar Store Inc (Adapted)
January 30th, 2011 January 29th, 2011
Sales 100.00% 100.00%
COGS, operating and other expenses 64.51% 57.89%
Income before Income Tax 10.71% 12.04%
Income Tax Expense 3.95% 2.45%
Net Earnings 6.75% 8.23%
Common-Size Income Statement Comparison with Dollar Tree reveals favourable conditions
for Dollarama. Despite the larger operations of Dollar Tree, Dollarama is able to operate at
comparatively better margins. Dollarama’s COGS is 57.9%, 6.6% lower than Dollar Tree. This means
that Dollarama is able to operate much more cost efficiently than Dollar Tree (Appendix 3), and this
result is especially significant when we consider Dollar Tree should be able to minimize cost more
efficiently due to their size with economies of scale. This cumulatively puts Dollarama’s IBT and Net
Earnings at a better position as well. Thus, despite the conflicting factors in comparing Dollarama
with Dollar Tree, Dollarama is performing comparatively better than its competitor.
Comparisons of selected ratios for the fiscal year ending 2011 Dollar Tree Dollarama
Ratios
Acid Test Ratio 0.91 0.44
Inventory Turnover 5.12 3.33
Debt Ratio 0.18 0.44
Times Interest Earned Ratio 112.70 5.91
Return on Sales 6.75% 8.23%
Return on Assets 16.89% 8.91%
Gross Margin 35.49% 42.11%
We can get a better picture of the performance of both companies by comparing key ratios.
Dollar Tree has a higher acid test ratio than Dollarama, indicating that it is more liquid and more
able to pay short-term debts, and also has a lower debt ratio, which means the company is less
leveraged than Dollarama is. Combine this with Dollar Tree’s significantly higher times interest
Page 8

10. earned ratio, and we can see that Dollar Tree is better at managing debt in general. In terms of
profitability, Dollarama has greater gross margins and greater return on sales, meaning that the
company is more cost-efficient and is better than managing costs than Dollar Tree is. However,
Dollarama’s return on assets is lower than Dollar Tree’s ROA, and indicates that although Dollarama
generates greater profits per sale, it has lower asset utilization and requires more capital to
generate the same dollar of profit. Dollarama also has a lower inventory turnover than Dollar Tree,
meaning that Dollar Tree turns to sell more aggressively throughout its operating cycle.
Dollarama’s increasing P/E Ratio is reflective of its growing EPS and financial health. The
company’s 2011 P/E ratio of 15.25 means that investors are willing to pay $15.25 for each $1 of net
income that the company generates. However, this value is low when compared to Dollar Tree’s P/E
Ratios of 34.15, 38.75, and 45.96 in 2009, 2010, and 2011 respectively. This result can be
interpreted in two ways, either that Dollar Tree is more valuable to investors than Dollarama is, or
that Dollarama is being undervalued and a buying opportunity exists in investing in Dollarama. The
interpretation is up to the individual investor and whether he/she wants to be optimistic or
pessimistic.
Dollarama’s dividend policy on its Annual Information Form states “The Corporation has not
declared or paid any cash dividends on its Common Shares to date, and does not currently intend to
pay any cash dividends on its Common Shares. The Corporation currently intends to use its earnings
to fund future operations, to finance the expansion of its business and to reduce indebtedness”.
Therefore, it does not allow us to consider this ratio for analysis purposes.
Dollarama has shown to be a profitable company that has been steadily growing for the past
three years. The company’s liquidity ratios indicate strong baseline financial health; the steady
Page 9

11. improvement in the company’s solvency ratios, in particular the decline in its debt ratio, shows that
the company is well positioned enough to pay off a large amount of its long-term debt. However,
there is one predominant red flag in Dollarama’s liquidity ratio: the year-over-year decrease in the
company’s acid-test ratio. In 2008, the ratio was very low at 0.22 and increased dramatically to 0.75
in 2009. However, it diminished in subsequent years to 0.63 and 0.44 in 2010 and 2011
respectively. This year-over-year decrease in Dollarama’s acid test ratio shows that that company is
slowly becoming less able to cover immediate liabilities with short-term assets sans inventory—this
means that in the near future, Dollarama may be unable to cover its accounts payables and other
expenses when they come due in the short-term. In terms of overall profitability, Dollarama has
shown healthy margins that outstrip its competitors, its gross margin percentage of 42.11% means
that for every $1 item that Dollarama sells, the company retains 42 cents for paying its
administrative costs. This is higher than Dollar Tree’s 35.49%--reflecting Dollarama’s 7 cent
advantage over its competitor. When products in the discount industry sell for $1 or $2, this 7 cent
difference is a significant amount that puts Dollarama at the top of the industry.
Page 10

12. Comparative Income Sheet - Vertical Analysis
Dollarama Inc.
Consolidated Statement of Earnings (Adapted)
For the fiscal year ended February 1 to January 30
Amount Percentage of Amount Percentage of
(in thousands of dollars) 2011 Sales 2010 Sales
Sales $ 1,419,914 100% $ 1,253,706 100%
Cost of Sales and Expenses
Cost of Sales $ 906,982 63.9% $ 810,624 64.7%
General, admin and operating expenses 278,952 19.6% 264,784 21.1%
Amortization 28,508 2.0% 24,919 2.0%
$ 1,214,442 85.5% $ 1,100,327 87.8%
Operating Income $ 205,472 14.5% $ 153,379 12.2%
Financial Costs, net 34,460 2.4% 51,101 4.1%
Earnings Before Income Taxes $ 171,012 12.0% $ 102,278 8.2%
Provision for Income Taxes 54,185 3.8% 29,415 2.3%
Net Income $ 116,827 8.2% $ 72,863 5.8%
Comparative Income Sheet - Horizontal Analysis
Dollarama Inc.
Consolidated statement of Earnings (Adapted)
For the fiscal year ended February 1 to January 30
Increase (Decrease)
(in thousands of dollars) 2011 2010 2009 From 2010 to 2011 From 2009 to 2010
Amount % Amount %
Sales $ 1,419,914 $ 1,253,706 $ 1,089,011 166,208 13.3% 164,695 15.1%
Cost of Sales and Expenses
Cost of Sales $ 906,982 $ 810,624 $ 724,157 96,358 11.9% 86,467 11.9%
General, admin and operating expenses 278,952 264,784 214,596 14,168 5.4% 50,188 23.4%
Amortization 28,508 24,919 21,818 3,589 14.4% 3,101 14.2%
$ 1,214,442 $ 1,100,327 $ 960,571 114,115 10.4% 139,756 14.5%
Operating Income $ 205,472 $ 153,379 $ 128,440 52,093 34.0% 24,939 19.4%
Financial Costs, net 34,460 51,101 131,654 (16,641) -32.6% (80,553) -61.2%
Earnings Before Income Taxes $ 171,012 $ 102,278 $ (3,254) 68,734 67.2% 105,532 -3243.1%
Provision for Income Taxes 54,185 29,415 12,250 24,770 84.2% 17,165 140.1%
Net Income $ 116,827 $ 72,863 $ (15,504) 43,964 60.3% 88,367 -570.0%
Jawwad Siddiqui – siddiqui.m@queensu.ca Page 11

13. Comparative Balance Sheet - Vertical Analysis
Dollarama Inc.
Consolidated Balance Sheet (Adapted)
As at January 30 of each year indicated
Amount Percentage of Total Amount Percentage of Total
(in thousands of dollars) 2011 Assets 2010 Assets
ASSETS
Current Assets
Cash and cash equivalents $ 53,129 4.05% $ 93,057 7.0%
Accounts receivable 1,821 0.1% 1,453 0.1%
Merchandise Inventories 258,905 19.75% 234,684 17.7%
Deposits and Prepaid Expenses 4,658 0.36% 4,924 0.4%
Derivatives financial instrument 838 0.06% 3,479 0.3%
$ 319,351 24.4% $ 337,597 25.5%
Long-term Assets
Property and Equipment $ 152,081 11.6% $ 138,214 10.5%
Goodwill 727,782 55.5% 727,782 55.0%
Other intangible assets 111,917 8.5% 113,302 9%
Derivative financial instruments - 0 5,342 0.4%
Total Assets $ 1,311,131 100.0% $ 1,322,237 100%
LIABILITIES & SE
Current Liabilities
Accounts Payable $ 39,577 3.0% $ 31,694 2.40%
Accrued Expenses and other 64,281 4.9% 46,825 3.54%
Income taxes payable 12,830 1.0% 23,445 1.77%
Current Portion of long-term debt 14,292 1.1% 1,925 0.15%
Derivative financial instruments 5,630 0.4% 55,194 4.17%
$ 136,610 10.4% $ 159,083 12.03%
Long-term Liabilities
Long-term debt $ 347,763 26.5% $ 468,591 35.44%
Due to shareholders - 0% - 0%
Future income taxes 54,906 4.2% 49,879 3.77%
Other liabilities 33,644 2.6% 29,988 2.27%
Total Liablities $ 572,923 43.70% $ 707,541 53.51%
Shareholders' Equity
Capital Stock $ 523,295 39.91% $ 518,430 39.21%
Contributed surplus 16,066 1.23% 17,472 1.32%
Retained earnings 205,712 15.69% 88,885 6.72%
Accumulated other CI (6,865) -0.52% (10,091) -0.76%
Total Shareholder's Equity $ 738,208 56.30% $ 614,696 46.49%
Jawwad Siddiqui – siddiqui.m@queensu.ca Page 12

14. Comparative Balance Sheet - Horizontal Analysis
Dollarama Inc.
Consolidated Balance Sheet (Adapted)
As at January 30 of each year indicated
Increase (Decrease)
(in thousands of dollars) 2011 2010 2009 From 2010 to 2011 From 2009 to 2010
ASSETS Amount % Amount %
Current Assets
Cash and cash equivalents $ 53,129 $ 93,057 $ 66,218 (39,928) -42.9% 26,839 40.5%
Accounts receivable 1,821 1,453 2,998 368 25.3% (1,545) -51.5%
Merchandise Inventories 258,905 234,684 249,644 24,221 10.3% (14,960) -6.0%
Deposits and Prepaid Expenses 4,658 4,924 4,710 (266) -5.4% 214 4.5%
Derivatives financial instrument 838 3,479 33,175 (2,641) -75.9% (29,696) -89.5%
$ 319,351 $ 337,597 $ 356,745 (18,246) -5.4% (19,148) -5.4%
Long-term Assets
Property and Equipment $ 152,081 $ 138,214 $ 129,878 13,867 10.0% 8,336 6.4%
Goodwill 727,782 727,782 727,782 - 0.0% - 0.0%
Other intangible assets 111,917 113,302 115,210 (1,385) -1.2% (1,908) -1.7%
Derivative financial instruments - 5,342 33,423 (5,342) -100.0% (28,081) -84.0%
Total Assets $ 1,311,131 $ 1,322,237 $ 1,363,038 (11,106) -0.8% (40,801) -3.0%
LIABILITIES & SE
Current Liabilities
Accounts Payable $ 39,577 $ 31,694 $ 39,729 7,883 24.9% (8,035) -20.2%
Accrued Expenses and other 64,281 46,825 37,760 17,456 37.3% 9,065 24.0%
Income taxes payable 12,830 23,445 5,692 (10,615) -45.3% 17,753 311.9%
Current Portion of long-term debt 14,292 1,925 15,302 12,367 642.4% (13,377) -87.4%
Derivative financial instruments 5,630 55,194 - (49,564) -89.8% 55,194 nmf
$ 136,610 $ 159,083 $ 98,483 (22,473) -14.1% 60,600 61.5%
Long-term Liabilities
Long-term debt $ 347,763 $ 468,591 $ 806,384 (120,828) -25.8% (337,793) -41.9%
Due to shareholders - - 256,077 0 0.0% (256,077) -100.0%
Future income taxes 54,906 49,879 71,759 5,027 10.1% (21,880) -30.5%
Other liabilities 33,644 29,988 28,098 3,656 12.2% 1,890 6.7%
Total Liablities $ 572,923 $ 707,541 $ 1,260,801 (134,618) -19.0% (553,260) -43.9%
Shareholders' Equity
Capital Stock $ 523,295 $ 518,430 $ 35,304 4,865 0.9% 483,126 1368.5%
Contributed surplus 16,066 17,472 10,354 (1,406) -8.0% 7,118 68.7%
Retained earnings 205,712 88,885 16,022 116,827 131.4% 72,863 454.8%
Accumulated other CI (6,865) (10,091) 40,557 3,226 -32.0% (50,648) -124.9%
Total Shareholder's Equity $ 738,208 $ 614,696 $ 102,237 123,512 20.1% 512,459 501.2%
Total Liabilities and SE $ 1,311,131 $ 1,322,237 $ 1,363,038 (11,106) -0.8% (40,801) -3.0%
Page 13

15. Key Financials
12 months 12 months 12 months 12 months
Feb 03, Feb 01, Jan 31, Jan 30,
2008 2009 2010 2011
(Dollar amounts in millions, except EPS)
Current Assets 243.674 356.745 337.597 319.351
Working
Current Liabilities 185.291 98.483 159.083 136.610
Capital
Working Capital $ 58.383 $ 258.262 $ 178.514 $ 182.741
Cash and Equivalents 26.289 66.218 93.057 53.129
Accounts Recievable 2.798 2.998 1.453 1.821
Acid Test
Short-term Investments 11.519 4.710 4.924 4.658
Ratio
Current Liabilities 185.291 98.483 159.083 136.610
Acid Test Ratio 0.219 0.751 0.625 0.436
Cost of Goods Sold 640.885 655.176 734.347 822.018
Inventory Inventory 198.500 249.644 234.684 258.905
Turnover Average Inventory - 224.072 242.164 246.795
Inventory Turnover - 2.924 3.032 3.331
Total Liabilities 1,138.500 1,260.800 707.500 572.900
Debt Ratio Total assets 1,200.500 1,363.000 1,322.200 1,311.100
Debt Ratio 0.948 0.925 0.535 0.437
Time- Income from operations 124.600 131.400 167.000 205.500
Interest- Interest Expense 95.100 86.900 82.200 34.800
Earned Times-Interest ER 1.310 1.512 2.032 5.905
Net Income 50.000 (15.500) 72.900 116.800
Return on
Total Revenue 972.400 1,089.000 1,253.700 1,419.900
Sales
Return on Sales 5.14% -1.42% 5.81% 8.23%
Net Income 50.000 (15.500) 72.900 116.800
Return on
Total Assets 1,200.500 1,363.000 1,322.200 1,311.100
Assets
Return on Assets 4.16% -1.14% 5.51% 8.91%
Net Income 50.000 (15.500) 72.900 116.800
Earnings
Weighted Avg. Common Shares Outstanding 42.500 43.900 51.500 73.200
Per Share
Earnings Per Share $ 1.18 $ (0.35) $ 1.42 $ 1.60
Jawwad Siddiqui – siddiqui.m@queensu.ca Page 14

16. 2010 Dollar Tree Annual Report. Rep. 17 Mar. 2011. Web.
<http://www.dollartreeinfo.com/common/download/download.cfm?companyid=DLTR&fil
eid=468412&filekey=8337862E-9566-45F4-84AB-
06EC21AB6A06&filename=DollarTree2010AnnRpt.pdf>.
Annual Information Form. Rep. Dollarama Inc., 29 Apr. 2011. Web.
<http://www.dollarama.com/wp-content/uploads/2011/05/Annual-Information-
Form.pdf>.
Dollar Tree Inc. Financial Information. Rep. Capital IQ. Web. 25 Nov. 2011.
<https://www.capitaliq.com/home.aspx>.
Dollar Tree, Inc. (NasdaqGS:DLTR). Rep. Capital IQ. Web. 28 Nov. 2011."Dollar Tree Investor
Relations - Key Shareholder Information & Financial Reports." Dollar Tree, Inc. Corporate
Site - Investor Relations, Vendor & Real Estate Partners. Dollar Tree Inc. Web. 30 Nov. 2011.
<http://www.dollartreeinfo.com/investors/>.
Dollarama. Dollarama Inc. Web. 30 Nov. 2011. <http://www.dollarama.com/home/>.
Dollarama Inc. Financial Information. Rep. Capital IQ. Web. 25 Nov. 2011.
<https://www.capitaliq.com/home.aspx>.
Jawwad Siddiqui – siddiqui.m@queensu.ca Page 15