Dollar General Plans to Close Nearly 100 Stores: Here’s What We Know

Dollar General is a staple for many who look to save more on everyday essentials, but some customers will soon be left without a store to shop at.

After strategic planning and evaluation of store performance, the retailer has announced closures that will take effect before the fiscal year ends. This means if you often shop at your local Dollar General, you may have to look for a different retail option.

Keep reading to learn everything we know about the Dollar General closures.

After a store portfolio optimization review during the fourth quarter of the fiscal year 2024, the company decided to close nearly 100 Dollar General locations.

During the fourth quarter 2024 earnings call, Dollar General CEO Todd Vasos explained that the company "conducted a real estate portfolio optimization review" and determined that closing some stores sooner than the lease expires would be best. In the call, Vasos said the decision would strengthen the company for the future.

The real estate portfolio optimization review is a strategy that requires evaluating individual store performance and market conditions to decide which stores to close. According to the earnings report, it "involved identifying stores for closure or re-bannering based on an evaluation of individual store performance, expected future performance, and operating conditions, among other factors."

As a result of the store portfolio optimization review, 96 Dollar General stores are slated to close. According to Vasos, this represents less than 1% of the company's overall store base.

"Those stores, many of which are in urban locations, have become increasingly challenging to successfully operate," said Vasos.

Closing these locations will ultimately be most beneficial financially, allowing the company to put more money into improving current stores, opening ones in more strategic locations, and boosting the overall Dollar General experience.

In 2020, Dollar General announced the opening of pOpshelf, a sister store focused on selling things like decor, DIY finds, trending beauty items, party necessities, and other fun and affordable products.

In 2021, the company announced its plan to reach approximately 1,000 stores by the end of the 2025 fiscal year. As part of its pOpshelf portfolio review, Dollar General now plans to close 45 pOpshelf stores, according to the fourth quarter 2024 earnings call. Six other locations will be converted into Dollar General stores. Without these 51 stores, 180 pOpshelf locations will remain.

FinanceBuzz reached out to Dollar General for a list of stores closing, but the company did not provide specific locations. While there are no official answers as to which stores are closing, some locations across the brands have already started holding "going out of business" sales.

According to a news report from MySA, two pOpshelf stores in San Antonio have started offering 50% off their stock in preparation for closing next month. Both stores also adjusted their operating schedule to only five hours on weekdays and seven on weekends.

According to the news report, these sales were confirmed by an employee at the pOpshelf store located at 1231 Austin Highway in San Antonio, and the store will close on April 18. Additionally, the location at 17822 La Cantera Parkway will also close on April 18.

While closing 141 stores between both brands may seem like bad news, optimizing the store portfolio involves eliminating locations that aren't performing well so the rest of the company can continue growing. They plan to remodel stores, expand delivery services, and open new stores.

Despite the closures, Dollar General is in good standing financially, with Vasos noting "solid execution and top line results" in the fourth quarter of 2024. He credits part of that to their back-to-basics work, which has resulted in "higher customer satisfaction scores and healthy market share gains."

While the company saw a decrease in net income for the fiscal year 2024, net sales in the fourth quarter were up by 4.5% to $10.3 billion. This marks the first time Dollar General has delivered more than $40 billion in fiscal year sales. And while Dollar General's Q4 financial results showed a reduced operating profit, much of that is from the costs associated with the review and other changes that benefit the bottom line going forward.

Despite closing so many stores, the Dollar General footprint continues to grow. During the fiscal year 2025, the company plans to open 575 new locations in the United States and 15 in Mexico. The company also plans to remodel over 4,000 stores and relocate another 45.

With over 20,000 stores across the United States and Mexico, Dollar General's reach is expansive. With stores in 48 states, Texas has the most Dollar General stores. San Antonio takes the lead with 63 locations throughout the city.

While the company is closing nearly 100 Dollar General stores in addition to 45 pOpshelf locations, their hope is to build a solid foundation to continue offering what their customers want and need.

If your local Dollar General closes, check for a Family Dollar or Dollar Tree in your area for a similar product selection, pricing, and store layout. And no matter where you shop, you can look into top rewards credit cards to earn cash back on eligible purchases.