Canadian discount retailer Dollarama is growing its 400-store business in Australia off the back of booming international sales.

In the first quarter of the financial year, the company recorded $1.9 billion in sales, representing a 21 per cent increase on the previous year. These surging sales led to a 10.4 per cent increase in profits, up to $307.5 million.

The company’s president and CEO, Neil Rossy, credited this uptick in earnings to growth in its core Canadian market through an ever-expanding store network. Globally, Rossy said Dollarama is pursuing “growth with discipline”.

“In Australia, we also made progress, with an increasing number of stores now operating under the Dollarama layout and our first Dollarama import products beginning to gradually reach shelves,” he added.

“Looking ahead, we expect our strong value proposition to continue resonating with customers, supported by our resilient business model, which provides us with flexibility to navigate an uncertain and rapidly evolving macroeconomic environment.”

Dollarama entered the country in last July through the $259 million acquisition of The Reject Shop. Since then, it has gone about the business of growing its footprint in the country while converting existing stores to the company’s own layout. 

In its financial disclosure, Dollarama said it added eight new stores in Australia during the quarter, while renovating 13 more. Now, it has 28 Dollarama-brand stores operating in Australia and 410 in total.