Dollar General raised its full-year earnings forecasts on Thursday after beating expectations in Q3, helped by solid demand at its discount stores. The retailer benefited from cost-cutting efforts and better inventory management, as well as an influx of bargain-hunting shoppers in an uncertain economic environment. The stock rose over 11% during trading, taking its YTD rise to nearly 45%.

The company now expects FY EPS of $6.30 to $6.50, up from a previous forecast range of $5.80 to $6.30. Same-store sales are expected to rise by 2.5% to 2.7%, up from 2.1% to 2.6% previously. This rebound comes as discount chains, such as Dollar Tree or Walmart, attract a broader audience, including more affluent households, amid higher living costs and job uncertainties.

Dollar General relies on an aggressive pricing policy, with about 25% of its products sold at $1 or less, to retain its low-income customer base. CEO Todd Vasos says that the combination of value and convenience positions the group to gain market share across all segments. Its Q3 EPS reached $1.28, versus $0.95 expected, on revenue of $10.65bn, slightly above forecasts. The group now plans to slow its physical expansion to focus on improving the customer experience and profitability.