FDO F1Q11 EPS Below Citigroup Estimate

Family Dollar Stores, Inc.'s FDO F1Q11 EPS of $0.58 per diluted share were “below our estimate of $0.62 and consensus of $0.61, but within guidance of $0.56 to $0.61, and vs. $0.49 last year,” Citigroup reports. Results reflected SSS of +6.9% (at the high-end of FDO's 5 to 7% guidance), worse-than-expected gross margin deterioration, and slightly lower-than-expected expense leverage. Family Dollar Stores closed Wednesday at $44.99.