Dollar General set a quarterly sales record of $10.44 billion and spent more revenue and sales prospects on bargaining stores and low-priced retailers amid economic uncertainty.

The U.S. economy shrank to 0.2% from January to March, the first decline in three years, as President Donald Trump's trade war weakened corporate spending. Consumer spending has slowed sharply.

Dollar General's sales climbed from $9.91 billion to $10.44 billion during the period ending May 2. That's better than the $10.29 billion Wall Street expects, according to a poll by Zacks Investment Research.

Store sales for at least one year, a key indicator of retailers’ health, up 2.4%.

Customer traffic fell 0.3%, but the average transaction amount increased by 2.7%.

Stocks, which opened on Tuesday and rival Dollar Tree, rose more than 10%, the share price reported its quarterly performance on Wednesday, up 4%.

Goodsville, Tennessee-based Dollar General received $391.9 million, or $1.78 a share in the quarter, surpassing Wall Street's forecast of $1.47 a share, and a profit of $363.3 million recorded in the same period last year.

Dollar General said even if it exceeded its expectations, how tariffs will affect uncertainty in its business and customers for the rest of the year.

People are trading or visiting bargaining chains while seeking to extend spending, but low-income Americans are more vulnerable.

“While the macro context remains unhelpful, core low-income consumers still face significant financial pressure, this quarter, consumers will lightly stock things when they expect tariffs to relieve that pressure.”

The company now expects revenues of around $5.20 to $5.80 in 2025. Its previous revenue forecast was approximately $5.10 to $5.80 per share.

Analysts surveyed by Factset are looking for $5.61 per share in revenue.

Sales are expected to climb about 3.7% to 4.7%. Dollar General previously forecast sales growth of about 3.4% to 4.4%. Now, sales growth in the same store is expected to increase by about 1.5% to 2.5% from the previous outlook, with a growth rate of about 1.2% to 2.2%.