Fred’s reports profit rise of 17% in Q2

Memphis, Tenn. Discount merchant Fred's said Thursday it recorded a 17% jump in second-quarter net income to nearly $5 million, compared with net income of $4.2 million in the year-ago quarter.

The retailer cited higher foot traffic and margins for the improved performance.

Sales rose 3.5% to $449.5 million. Same-store sales rose 2.5%.

Fred's operates 674 discount stores across the United States.