RICHMOND, Va. (AP) — Discount retailer Dollar Tree Inc. said Thursday that its net income increased nearly 49 percent in the third quarter as consumers spent more at its stores that sell goods for $1 or less. It expects sales to increase during the important holiday shopping season.

Dollar stores, which offer a wide variety of products from beach toys to vitamins, have done well throughout the recession and its aftermath, attracting budget-conscious customers with low prices. They’ve also promoted themselves as easy to navigate and easy to get to, since they’re much smaller than big-box stores like Wal-Mart Stores and Target, and usually have more locations throughout any given city.

The Chesapeake, Va.-based chain reported earnings of $155.4 million, or 68 cents per share, for the period ended Oct. 27, up from $104.5 million, or 43 cents per share, a year ago.

Excluding a gain from selling its stake in the Ollie’s Holdings Inc. chain, it earned 51 cents per share, beating Wall Street estimates of 49 cents per share.

Dollar Tree said revenue increased 8 percent to $1.72 billion, matching analyst estimates, according to FactSet. Top-selling products included housewares and home products, health care products, and food and beverages, the company said.

Sales at stores open at least one year rose 1.6 percent. That comparison is a key gauge of a retailer’s health because it excludes stores that recently opened or closed.

The company operates 4,630 stores in the U.S. and Canada. It opened 111 stores, expanded or relocated 16, and closed four during the third quarter.