Net sales increased 17.6% in the quarter.

GOODLETTSVILLE, Tenn.—Dollar General Corp. today posted solid gains in sales and earnings in its fiscal fourth quarter and full year, but warned that the growth is unlikely to be sustained this year due to “significant uncertainty regarding the severity and duration of the pandemic, including its impact on the U.S. economy, consumer behavior and the company’s business.”

The company told investors that it foresees fiscal 2021 revenues flat to down 2%, compared with last year’s 21.6% increase in net sales, to $33.7 billion, fueled by pandemic-related pantry-stocking.

“We continue to operate from a position of strength, and are excited about our plans for 2021 to continue delivering value and convenience for our customers, along with long-term sustainable growth and value for our shareholders,” Todd Vasos, Dollar General’s chief executive officer, said in a statement.

Dollar General said net sales increased 17.6% in the quarter ended January 29. For the full year, sales increased 21.6%. Same-store sales increased 12.7% in the fourth quarter and 16.3% for the full year.

Fourth-quarter operating profit increased 21% to $872 million; full-year operating profit was up 54.4% to $3.6 billion.

Citing the “wide range of potential outcomes and ongoing uncertainty,” the retailer is projecting comps will decline between 4% and 6% in fiscal 2021, and diluted earnings per share would decline between 10% and 15%. By comparison, Dollar General’s just-ended 2020 earnings rose 60% on a per-share basis.

Dollar General said the projected sales slowdown won’t slow its expansion plans. This year’s construction plan closely tracks last year’s schedule, when it completed 2,780 real estate projects, including the opening of the company’s 17,000th store, while extending its milestone of 31 consecutive years of same-store sales growth.

The company reiterated its plans to execute 2,900 real estate projects in fiscal 2021, including 1,050 new store openings, 1,750 store remodels, and 100 store relocations.

“We believe the fundamentals of the business are strong, and we are confident in the team’s ability to execute on our robust plans for 2021,” said John Garratt, Dollar General’s chief financial officer.

“While we remain cautious in our 2021 sales outlook given the significant uncertainty that still exists, our guidance reflects low-double-digit same-store sales growth on a two-year stack basis, which we believe speaks to the underlying strength of the business,” Garratt said. “In addition, our diluted EPS guidance reflects a compound annual growth rate over a two-year period that is well above our long-term goal of delivering at least 10% annual EPS growth on an adjusted basis. We are executing well against our operating priorities and strategic initiatives, which we believe positions us well to drive long-term sustainable growth. As always, we continue to be disciplined in how we manage expenses and capital with the goal of delivering consistent, strong financial performance, while strategically investing for the long term.”