UPDATE 3-Dollar General profit up, shares dip on econ worry

* Q4 EPS $0.51 ex-items vs Wall St view $0.43

* Sees same-store sales up 4-6 pct in current fiscal year

* Sees FY 2011 EPS $1.55 to $1.63; analysts' view $1.56

* Shares down 1.4 pct (Adds debt offering, analyst comments, byline)

By Brad Dorfman

CHICAGO, March 31 (Reuters) - Discount retailer Dollar General Corp (DG.N) posted higher-than-expected quarterly profit and forecast full-year results that could beat Wall Street forecasts as consumers sought bargains on food and seasonal items.

The results, combined with a share priced near its year-high, could prompt controlling shareholder Kohlberg Kravis Roberts & Co [KKR.UL] to cash in on its investment, one analyst said. KKR still owns 88 percent of Dollar General's shares after the company's public offering in November.

"We believe there is a risk that KKR may look to monetize its investment in Dollar General more quickly than the market originally anticipated, following a good quarter as well as a fairly optimistic 2010 outlook," said Morningstar analyst Zoe Tan.

The discounter's shares fell more than 1 percent on Wednesday, as a report that U.S. private sector jobs fell unexpectedly weighed on the sector as a sign the economy remains sluggish. [ID:nN31213253] Wal-Mart Stores Inc (WMT.N) slipped 0.6 percent, BJ's Wholesale BJ.N slid 0.1 percent and Family Dollar Stores (FDO.N) shed 1.1 percent.

Dollar General, which prices most of its merchandise below $10, said profit in the fiscal fourth quarter rose to $87.2 million, or 26 cents a share, from $81.9 million, or 26 cents a share, a year earlier.

Excluding one-time items, earnings were 51 cents a share. Analysts on average forecast 43 cents, according to Thomson Reuters I/B/E/S.

Sales rose 11.9 percent to $3.19 billion, in line with analysts' expectations. Same-store sales rose 7.4 percent.

The company forecast earnings of $1.55 to $1.63 a share for the current fiscal year. Analysts on average had expected $1.56.

It expects a fiscal-year increase of 4 percent to 6 percent in sales at stores open at least a year, compared with a 9.5 percent rise in the year that ended January 29.

The retailer, which operates more than 8,800 stores, said it planned to open 600 more this year and remodel an additional 500.

Dollar General's shares were down 36 cents at $25.43 in early afternoon on the New York Stock Exchange. (Reporting by Brad Dorfman; Editing by Lisa Von Ahn and Gunna Dickson)