Financial Performance - Adjusted diluted EPS from continuing operations was $0.77, including a $0.20 positive impact from tariff timing[6] - Dollar Tree segment gross margin expanded by 20 bps, but adjusted operating margin contracted by 20 bps[7] - Q2 2025 Dollar Tree GAAP operating margin was 8.0%, a decrease of 40 bps year-over-year; Non-GAAP operating margin was 8.1%, a decrease of 30 bps year-over-year[19, 20] - Dollar Tree sales per square foot reached $237 in Q2 2025[17] Sales and Comparable Store Sales - Dollar Tree comparable store sales increased by 6.5%, driven by a 3.0% increase in traffic and a 3.4% increase in average ticket[9] - Consumables comp increased by 6.7% and discretionary comp increased by 6.1%, the highest discretionary comp growth since Q4 2022[9] - Dollar Tree sales are projected to be between $19.3 billion and $19.5 billion for fiscal year 2025, with comparable sales growth of 4% to 6%[23] Real Estate and Store Operations - 106 new Dollar Tree stores were opened, bringing the total to 9,148 open stores[9] - 26 Family Dollar Combo stores were converted to full Dollar Tree stores, with the remaining 31 to be converted by year-end[9] - Approximately 400 new store openings are planned for fiscal year 2025[23] Capital Allocation and Balance Sheet - $145 million of YTD free cash flow from continuing operations and $666 million of cash and cash equivalents at quarter end[9] - 5.0 million shares were repurchased in Q2 for approximately $501 million, including excise tax, with an additional 0.6 million shares purchased for approximately $71 million after quarter end[9] - $1.0 billion of maturing May 2025 4.00% senior notes were paid off with cash on hand and commercial paper borrowings[9] - The sale of the Family Dollar business was completed for a purchase consideration of $1.0 billion, resulting in net proceeds of $800 million after adjustments[9]

Dollar Tree raised its outlook for 2025 as more consumers look for lower-priced goods https://t.co/U7C0lMnJsm ...

PART I—FINANCIAL INFORMATION This section presents the company's unaudited condensed consolidated financial statements and related disclosures [Item 1. Financial Statements (Unaudited)](index=5&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements, including income statements, comprehensive income statements, balance sheets, statements of shareholders' equity, and cash flow statements, along with their accompanying notes, for the periods ended August 2, 2025 [Condensed Consolidated Income Statements](index=5&type=section&id=Condensed%20Consolidated%20Income%20Statements) This section presents the company's unaudited condensed consolidated income statements for the specified periods | Metric (in millions, except per share) | 13 Weeks Ended Aug 2, 2025 | 13 Weeks Ended Aug 3, 2024 | 26 Weeks Ended Aug 2, 2025 | 26 Weeks Ended Aug 3, 2024 | | :----------------------------------- | :------------------------- | :------------------------- | :------------------------- | :------------------------- | | Net sales | $4,566.8 | $4,065.5 | $9,203.3 | $8,231.1 | | Total revenue | $4,570.4 | $4,068.6 | $9,210.1 | $8,237.5 | | Operating income | $231.0 | $215.8 | $615.1 | $597.7 | | Net income | $188.4 | $132.4 | $531.8 | $432.5 | | Diluted EPS (Continuing Ops) | $0.75 | $0.66 | $2.22 | $1.89 | | Diluted EPS (Total) | $0.91 | $0.62 | $2.52 | $2.00 | - **Net sales increased** by **12.3%** to **$4,566.8 million** for the **13 weeks** ended August 2, 2025, and by **11.8%** to **$9,203.3 million** for the **26 weeks**, compared to the prior year periods[14](index=14&type=chunk) - **Net income increased** by **42.3%** to **$188.4 million** for the **13 weeks** and by **23.0%** to **$531.8 million** for the **26 weeks** ended August 2, 2025, compared to the prior year periods[14](index=14&type=chunk) [Condensed Consolidated Statements of Comprehensive Income](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income) This section presents the company's unaudited condensed consolidated statements of comprehensive income | Metric (in millions) | 13 Weeks Ended Aug 2, 2025 | 13 Weeks Ended Aug 3, 2024 | 26 Weeks Ended Aug 2, 2025 | 26 Weeks Ended Aug 3, 2024 | | :------------------------------- | :------------------------- | :------------------------- | :------------------------- | :------------------------- | | Net income | $188.4 | $132.4 | $531.8 | $432.5 | | Foreign currency translation adj | $(0.4) | $(3.4) | $5.2 | $(5.4) | | Total comprehensive income | $188.0 | $129.0 | $537.0 | $427.1 | - **Total comprehensive income increased** by **45.7%** for the **13 weeks** and **25.7%** for the **26 weeks** ended August 2, 2025, compared to the prior year periods[16](index=16&type=chunk) [Condensed Consolidated Balance Sheets](index=7&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) This section presents the company's unaudited condensed consolidated balance sheets | Metric (in millions) | Aug 2, 2025 | Feb 1, 2025 | Aug 3, 2024 | | :--------------------------------------- | :---------- | :---------- | :---------- | | Total current assets | $3,613.9 | $9,107.2 | $6,092.3 | | Total assets | $13,384.9 | $18,644.0 | $22,616.6 | | Total current liabilities | $3,486.9 | $8,585.9 | $5,999.9 | | Total liabilities | $9,779.8 | $14,666.6 | $15,237.1 | | Total shareholders' equity | $3,605.1 | $3,977.4 | $7,379.5 | - **Total assets decreased** from **$18,644.0 million** at February 1, 2025, to **$13,384.9 million** at August 2, 2025, primarily due to the sale of the Family Dollar business[18](index=18&type=chunk)[30](index=30&type=chunk) - Current assets of discontinued operations were **$5,008.9 million** at February 1, 2025, and **$2,929.0 million** at August 3, 2024, but are **$0** at August 2, 2025, following the sale[18](index=18&type=chunk) [Condensed Consolidated Statements of Shareholders' Equity](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Shareholders'%20Equity) This section presents the company's unaudited condensed consolidated statements of shareholders' equity | Metric (in millions) | Balance at Feb 1, 2025 | 26 Weeks Ended Aug 2, 2025 | Balance at Aug 2, 2025 | | :------------------------------- | :--------------------- | :------------------------- | :--------------------- | | Total Shareholders' Equity | $3,977.4 | | $3,605.1 | | Net income | | $531.8 | | | Repurchase of stock | | $(929.2) | | | Stock-based compensation, net | | $24.0 | | - The company **repurchased $929.2 million** of stock during the **26 weeks** ended August 2, 2025, significantly **higher** than **$400.0 million** in the prior year period[19](index=19&type=chunk)[21](index=21&type=chunk) - **Total shareholders' equity decreased** from **$3,977.4 million** at February 1, 2025, to **$3,605.1 million** at August 2, 2025, largely due to **stock repurchases**[19](index=19&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=10&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) This section presents the company's unaudited condensed consolidated statements of cash flows | Metric (in millions) | 26 Weeks Ended Aug 2, 2025 | 26 Weeks Ended Aug 3, 2024 | | :---------------------------------------------------- | :------------------------- | :------------------------- | | Net cash provided by operating activities (continuing) | $639.2 | $737.7 | | Net cash used in investing activities (continuing) | $(21.2) | $(638.9) | | Net cash used in financing activities | $(1,636.0) | $(164.9) | | Net cash provided by (used in) discontinued operations| $263.5 | $(46.2) | | Net change in cash, cash equivalents & restricted cash| $(753.9) | $(112.8) | - **Net cash provided by operating activities** of continuing operations **decreased** by **$98.5 million**, primarily due to a **decrease** in accounts payable[113](index=113&type=chunk) - **Net cash used in investing activities** of continuing operations **decreased** by **$617.7 million**, driven by **$668.0 million** in proceeds from the Family Dollar sale and **lower** capital expenditures[114](index=114&type=chunk) - **Net cash used in financing activities increased** by **$1,471.1 million**, mainly due to the repayment of **$1.0 billion Senior Notes** and **higher stock repurchases**[115](index=115&type=chunk) [Notes to Unaudited Condensed Consolidated Financial Statements](index=12&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed notes accompanying the unaudited condensed consolidated financial statements [Note 1 - Description of Business and Basis of Presentation](index=12&type=section&id=Note%201%20-%20Description%20of%20Business%20and%20Basis%20of%20Presentation) This note describes the company's business operations and the basis for preparing the financial statements - Dollar Tree, Inc. is a leading operator of discount retail stores in the United States and Canada[26](index=26&type=chunk) - The sale of the Family Dollar business to 1959 Holdings, LLC was completed on July 5, 2025, for **$1,007.5 million**, with total cash monetized from the sale approximating **$800 million**[30](index=30&type=chunk) - The results of Family Dollar are presented as discontinued operations in the income statements, and its assets and liabilities are reflected as such in prior period balance sheets[30](index=30&type=chunk) [Note 2 - Recent Accounting Pronouncements

[Executive Summary & Highlights](index=1&type=section&id=Executive%20Summary%20%26%20Highlights) Dollar Tree reported strong Q2 sales and margin growth, completed the Family Dollar divestiture, and raised its full-year outlook, focusing on the Dollar Tree brand [CEO Statement](index=1&type=section&id=CEO%20Statement) CEO Mike Creedon emphasized strong Q2 performance and the company's renewed focus on strengthening the Dollar Tree brand post-Family Dollar sale - Dollar Tree delivered strong sales growth, margin outperformance, and market share gains in Q2 Fiscal 2025[3](index=3&type=chunk) - Following the Family Dollar sale, Dollar Tree is now a fully focused business, directing all resources towards strengthening the Dollar Tree brand[3](index=3&type=chunk) [Business Highlights](index=1&type=section&id=Business%20Highlights) Q2 Fiscal 2025 saw Dollar Tree same-store sales up 6.5%, diluted EPS of $0.75, over $1 billion in share repurchases, and an increased full-year net sales outlook Q2 Fiscal 2025 Business Highlights | Metric | Value | | :----------------------------------- | :----------------------------------- | | Dollar Tree Same-Store Net Sales (%) | +6.5% (Traffic +3.0%, Ticket +3.4%) | | Diluted EPS (Continuing Operations, $) | $0.75 | | Adjusted Diluted EPS (Continuing Operations, $) | $0.77 (includes $0.20 tariff timing impact) | | Share Repurchases (YTD, $B) | Over $1 Billion | | Full-Year FY25 Net Sales Outlook ($B) | $19.3 - $19.5 Billion | | Comparable Store Net Sales Growth Outlook (%) | 4% - 6% | | Adjusted EPS Outlook (Continuing Operations, $) | $5.32 - $5.72 | | New Dollar Tree Stores Opened (Count) | 106 | | Stores Converted to 3.0 Multi-Price Format (Count) | ~585 | | Net Cash Provided by Operating Activities (YTD, $M) | $639 Million | | Free Cash Flow (YTD, $M) | $145 Million | [Financial Performance](index=2&type=section&id=Financial%20Performance) The company reported strong Q2 financial results with increased net sales and gross margin, alongside significant capital allocation activities and year-to-date performance [Second Quarter Fiscal 2025 Results](index=2&type=section&id=Second%20Quarter%20Fiscal%202025%20Results) Q2 Fiscal 2025 saw net sales rise 12.3% to $4.6 billion, Dollar Tree same-store sales up 6.5%, and diluted EPS of $0.75, driven by margin expansion Q2 Fiscal 2025 Key Operating Results (Unaudited) | Metric | Q2 Fiscal 2025 | Change (YoY, %) | | :----------------------------------- | :------------- | :----------- | | Net Sales ($B) | $4.6B | 12.3% | | Same-Store Net Sales Growth – Dollar Tree (%) | 6.5% | | | Operating Income ($M) | $231M | 7.0% | | Diluted EPS ($) | $0.75 | 13.6% | | Adjusted Operating Income ($M) | $236M | 7.4% | | Adjusted Diluted EPS ($) | $0.77 | 13.2% | - Gross profit increased **12.9% to $1.6 billion**, and gross margin expanded **20 basis points to 34.4%**, primarily due to improved mark-on from pricing, lower domestic freight, and sales leverage, partially offset by higher tariff costs and shrink[10](index=10&type=chunk) - Selling, general and administrative expenses increased **60 basis points to 29.6% of total revenue**, driven by higher store payroll, depreciation, and incentive compensation, partially offset by lower general liability and stock compensation[11](index=11&type=chunk) - Diluted EPS from continuing operations was **$0.75**, with an adjusted diluted EPS of **$0.77**, which included approximately **$0.20** of positive impact from the timing of inventory mark-on and tariffs[14](index=14&type=chunk) [Capital Allocation & Liquidity (Q2)](index=3&type=section&id=Capital%20Allocation%20%26%20Liquidity%20%28Q2%29) Q2 capital allocation included repurchasing 5.0 million shares for $501.4 million, replenishing a $2.5 billion share repurchase authorization, and redeeming $1.0 billion in senior notes - The Company repurchased **5.0 million shares for $501.4 million** in Q2, and an additional **0.6 million shares for $71 million** subsequent to quarter end[15](index=15&type=chunk) - The Board of Directors replenished the share repurchase authorization to an aggregate amount of **$2.5 billion**[15](index=15&type=chunk) - Redeemed **$1.0 billion of 4.00% Senior Notes** on May 15, 2025[16](index=16&type=chunk) Liquidity Position as of August 2, 2025 | Metric | Amount | | :----------------------------------- | :------------- | | Remaining Share Repurchase Authorization ($B) | $2.4 Billion | | Cash and Cash Equivalents ($M) | $666.3 Million | | Commercial Paper Notes Outstanding ($M) | $300 Million | | Revolver Borrowings ($) | $0 | [Year-to-Date Fiscal 2025 Results](index=3&type=section&id=Year-to-Date%20Fiscal%202025%20Results) Year-to-date Fiscal 2025 net sales grew 11.8% to $9.2 billion, with Dollar Tree same-store sales up 5.9%, and diluted EPS from continuing operations at $2.22 Year-to-Date Fiscal 2025 Key Operating Results (Unaudited) | Metric | YTD Fiscal 2025 | Change (YoY, %) | | :----------------------------------- | :-------------- | :----------- | | Net Sales ($B) | $9.2 Billion | 11.8% | | Dollar Tree Same-Store Sales (%) | 5.9% | | | Gross Profit ($B) | $3.2 Billion | 12.3% | | Gross Margin (%) | 35.0% | +20 bps | | Operating Income ($M) | $615.1 Million | 2.9% | | Operating Income Margin (%) | 6.7% | -60 bps | | Diluted EPS (Continuing Operations, $) | $2.22 | | | Adjusted Diluted EPS (Continuing Operations, $) | $2.03 | | | Share Repurchases (YTD, Shares & $M) | 11.0 Million shares for $938.2 Million | | [Strategic Developments](index=4&type=section&id=Strategic%20Developments) Dollar Tree completed the divestiture of its Family Dollar business, generating $800 million in cash and realizing significant tax benefits [Family Dollar Divestiture](index=4&type=section&id=Family%20Dollar%20Divestiture) The Family Dollar divestiture was completed on July 5, 2025, for $1.0 billion, generating approximately $800 million in total cash and $425 million in tax benefits - Completed the sale of Family Dollar business on July 5, 2025, for a purchase consideration of **$1.0 billion**[21](index=21&type=chunk) Family Dollar Sale Proceeds | Item | Amount | | :----------------------------------- | :------------- | | Net proceeds paid at closing ($M) | $665 Million | | Proceeds to be received within 90 days ($M) | $22 Million | | Cash monetized prior to closing ($M) | $113 Million | | **Total Cash Monetized ($M)** | **~$800 Million** | | Expected Tax Benefits from Losses ($M) | ~$425 Million | - Family Dollar results are now presented as discontinued operations in financial statements, and the company has transition services agreements in place for up to **18 months**[22](index=22&type=chunk)[23](index=23&type=chunk) [Financial Outlook](index=4&type=section&id=Financial%20Outlook) The company increased its full-year fiscal 2025 net sales outlook to $19.3-$19.5 billion and provided adjusted diluted EPS guidance, while anticipating a Q2 tariff timing reversal in Q3 [Full-Year Fiscal 2025 Outlook](index=4&type=section&id=Full-Year%20Fiscal%202025%20Outlook) Full-year fiscal 2025 net sales outlook for continuing operations increased to $19.3-$19.5 billion, with adjusted diluted EPS projected between $5.32 and $5.72 - Full-year fiscal 2025 outlook is presented on a continuing operations basis, reflecting the Dollar Tree segment[24](index=24&type=chunk) - Outlook assumes current tariff levels remain in effect and the company can mitigate most incremental margin pressure from higher tariffs and other input costs[25](index=25&type=chunk) Full-Year Fiscal 2025 Outlook (Continuing Operations) | Metric | Range | | :----------------------------------- | :----------------------------------- | | Net Sales ($B) | $19.3 Billion to $19.5 Billion | | Comparable Store Net Sales Growth (%) | 4% to 6% | | Adjusted Diluted EPS ($) | $5.32 to $5.72 | [Third Quarter Fiscal 2025 Outlook](index=4&type=section&id=Third%20Quarter%20Fiscal%202025%20Outlook) The $0.20 positive timing impact on Q2 adjusted diluted EPS is expected to reverse in Q3 Fiscal 2025, leading to similar Q3 adjusted diluted EPS compared to prior year - The positive timing impact of approximately **$0.20** on adjusted diluted EPS from continuing operations is expected to reverse in Q3 Fiscal 2025[27](index=27&type=chunk) - Third quarter 2025 adjusted diluted EPS is expected to be similar to Q3 Fiscal 2024[27](index=27&type=chunk) [Corporate Information & Disclosures](index=4&type=section&id=Corporate%20Information%20%26%20Disclosures) This section provides details on investor relations, company overview, non-GAAP financial measures, forward-looking statements, and contact information [Investor Relations](index=4&type=section&id=Investor%20Relations) A conference call was held on September 3, 2025, to discuss earnings, with supplemental financial information available on the Investor Relations website - A conference call was held on September 3, 2025, to discuss earnings results, with a recorded version available for **seven days**[28](index=28&type=chunk) - Supplemental financial information for the second quarter is available on the Investor Relations portion of the Company's website[29](index=29&type=chunk) [About Dollar Tree, Inc.](index=5&type=section&id=About%20Dollar%20Tree%2C%20Inc.) Dollar Tree, Inc. is a leading North American value retailer operating over 9,000 stores across the U.S. and Canada under its namesake brands - Dollar Tree, Inc. is one of North America's largest value retailers, operating over **9,000 stores** and **18 distribution centers** across **48 U.S. states** and **five Canadian provinces**[30](index=30&type=chunk) - The company operates under the Dollar Tree and Dollar Tree Canada brands, employing approximately **150,000 associates**[30](index=30&type=chunk) [Non-GAAP Financial Measures](index=5&type=section&id=Non-GAAP%20Financial%20Measures) The company uses non-GAAP financial measures like adjusted SG&A and diluted EPS to provide additional insight into operating performance and liquidity, reconciled to GAAP - Dollar Tree uses non-GAAP financial measures such as adjusted SG&A, adjusted operating income, adjusted income from continuing operations, adjusted diluted EPS, adjusted effective tax rate, and free cash flow[31](index=31&type=chunk) - These non-GAAP measures are intended to provide additional information for evaluating current operating results in relation to past periods and are reconciled to GAAP in the financial tables[32](index=32&type=chunk) [Forward-Looking Statements](index=5&type=section&id=Forward-Looking%20Statements) The press release includes forward-looking statements on fiscal 2025 outlook, tariffs, and the Family Dollar sale, which are subject to risks and uncertainties - The press release includes forward-looking statements concerning fiscal 2025 business and financial outlook, tariff impacts, business initiatives, and the Family Dollar sale[33](index=33&type=chunk) - These statements are subject to risks and uncertainties, and the company is not obligated to publicly revise them[33](index=33&type=chunk) [Contact Information](index=5&type=section&id=Contact%20Information) Investor Relations inquiries can be directed to Robert A. LaFleur, Senior Vice President, at 757-991-5645 or via the company website - Contact for Investor Relations: Robert A. LaFleur, Senior Vice President, Investor Relations, at **757-991-5645**[34](index=34&type=chunk) [Financial Tables](index=7&type=section&id=Financial%20Tables) This section provides detailed financial statements, including income statements, balance sheets, cash flows, segment information, and non-GAAP reconciliations [Table of Contents for Financial Tables](index=7&type=section&id=Table%20of%20Contents%20for%20Financial%20Tables) This section outlines the detailed financial statements and reconciliations, including income statements, balance sheets, cash flows, and non-GAAP measures - The financial tables include Condensed Consolidated Income Statements, Balance Sheets, Statements of Cash Flows, Segment Information, and Reconciliations of Non-GAAP Financial Measures[36](index=36&type=chunk) [Condensed Consolidated Income Statements](index=8&type=section&id=Condensed%20Consolidated%20Income%20Statements) The income statements detail financial performance for the 13 and 26 weeks ended August 2, 2025, with Family Dollar as discontinued operations Condensed Consolidated Income Statements (Continuing Operations) | Metric | 13 Weeks Ended Aug 2, 2025 | 13 Weeks Ended Aug 3, 2024 | 26 Weeks Ended Aug 2, 2025 | 26 Weeks Ended Aug 3, 2024 | | :----------------------------------- | :------------------------- | :------------------------- | :------------------------- | :------------------------- | | Net sales ($M) | $4,566.8M | $4,065.5M | $9,203.3M | $8,231.1M | | Total revenue ($M) | $4,570.4M | $4,068.6M | $9,210.1M | $8,237.5M | | Cost of sales ($M) | $2,996.7M | $2,674.2M | $5,983.7M | $5,363.3M | | Selling, general and administrative expenses ($M) | $1,350.7M | $1,178.6M | $2,619.3M | $2,276.5M | | Operating income ($M) | $231.0M | $215.8M | $615.1M | $597.7M | | Income from continuing operations ($M) | $155.5M | $142.3M | $469.0M | $410.0M | | Net income ($M) | $188.4M | $132.4M | $531.8M | $432.5M | | Diluted EPS from continuing operations ($) | $0.75 | $0.66 | $2.22 | $1.89 | | Operating income margin (%) | 5.1% | 5.3% | 6.7% | 7.3% | | Effective tax rate (%) | 25.5% | 23.5% | 25.8% | 24.2% | [Condensed Consolidated Balance Sheets](index=11&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheets present financial position as of August 2, 2025, showing a decrease in total assets primarily due to the Family Dollar divestiture Condensed Consolidated Balance Sheets (Selected Items) | Metric | August 2, 2025 | February 1, 2025 | August 3, 2024 | | :----------------------------------- | :------------- | :--------------- | :------------- | | Cash and cash equivalents ($M) | $666.3M | $1,256.5M | $380.2M | | Merchandise inventories ($M) | $2,683.4M | $2,672.0M | $2,571.4M | | Total current assets ($M) | $3,613.9M | $9,107.2M | $6,092.3M | | Property, plant and equipment, net ($M) | $4,652.4M | $4,499.3M | $4,167.3M | | Total assets ($M) | $13,384.9M | $18,644.0M | $22,616.6M | | Short-term borrowings ($M) | $299.5M | $0M | $249.8M | | Current portion of long-term debt ($M) | $0M | $1,000.0M | $1,000.0M | | Total current liabilities ($M) | $3,486.9M | $8,585.9M | $5,999.9M | | Long-term debt, net ($M) | $2,429.7M | $2,431.2M | $2,428.7M | | Total liabilities ($M) | $9,779.8M | $14,666.6M | $15,237.1M | | Shareholders' equity ($M) | $3,605.1M | $3,977.4M | $7,379.5M | [Condensed Consolidated Statements of Cash Flows](index=13&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Cash flow statements detail movements for the 26 weeks ended August 2, 2025, showing $639.2 million from operating activities and significant impacts from the Family Dollar sale Condensed Consolidated Statements of Cash Flows (Selected Items) | Metric | 26 Weeks Ended Aug 2, 2025 | 26 Weeks Ended Aug 3, 2024 | | :----------------------------------- | :------------------------- | :------------------------- | | Net income ($M) | $531.8M | $432.5M | | Income from continuing operations ($M) | $469.0M | $410.0M | | Net cash provided by operating activities of continuing operations (GAAP, $M) | $639.2M | $737.7M | | Net cash used in investing activities of continuing operations ($M) | $(21.2)M | $(638.9)M | | Net cash used in financing activities ($M) | $(1,636.0)M | $(164.9)M | | Net cash provided by (used in) discontinued operations ($M) | $263.5M | $(46.2)M | | Net change in cash, cash equivalents and restricted cash ($M) | $(753.9)M | $(112.8)M | | Cash, cash equivalents and restricted cash at end of period ($M) | $757.3M | $644.4M | [Segment Information](index=15&type=section&id=Segment%20Information) This table breaks down net sales, gross profit, and operating income for the Dollar Tree segment and Corporate for 13 and 26 weeks Segment Information (13 Weeks Ended Aug 2, 2025) | Metric | Dollar Tree | Corporate, support and other | Total | | :----------------------------------- | :---------- | :--------------------------- | :------ | | Net Sales ($M) | $4,566.8M | — | $4,566.8M | | Total Revenue ($M) | $4,566.8M | $3.6M | $4,570.4M | | Gross Profit ($M) | $1,570.1M | — | $1,570.1M | | Gross Profit Margin (%) | 34.4% | — | 34.4% | | SG&A Expenses ($M) | $1,203.1M | $147.6M | $1,350.7M | | SG&A Expense Rate (%) | 26.3% | 3.2% | 29.6% | | Operating Income (Loss, $M) | $367.0M | $(136.0)M | $231.0M | | Operating Income Margin (%) | 8.0% | 3.0% | 5.1% | Segment Information (26 Weeks Ended Aug 2, 2025) | Metric | Dollar Tree | Corporate, support and other | Total | | :----------------------------------- | :---------- | :--------------------------- | :------ | | Net Sales ($M) | $9,203.3M | — | $9,203.3M | | Total Revenue ($M) | $9,203.3M | $6.8M | $9,210.1M | | Gross Profit ($M) | $3,219.6M | — | $3,219.6M | | Gross Profit Margin (%) | 35.0% | — | 35.0% | | SG&A Expenses ($M) | $2,329.9M | $289.4M | $2,619.3M | | SG&A Expense Rate (%) | 25.3% | 3.1% | 28.4% | | Operating Income (Loss, $M) | $889.7M | $(274.6)M | $615.1M | | Operating Income Margin (%) | 9.7% | 3.0% | 6.7% | [Dollar Tree Segment Information](index=17&type=section&id=Dollar%20Tree%20Segment%20Information) This section details Dollar Tree segment operational metrics, including store count, selling square footage, and sales per square foot as of August 2, 2025 Dollar Tree Segment Store Count & Square Footage | Metric | 13 Weeks Ended Aug 2, 2025 | 26 Weeks Ended Aug 2, 2025 | | :----------------------------------- | :------------------------- | :------------------------- | | Beginning Store Count (Stores) | 9,016 | 8,881 | | New stores (Count) | 106 | 254 | | Stores converted from Family Dollar (Count) | 36 | 41 | | Closings (Count) | (10) | (28) | | Ending Store Count (Stores) | 9,148 | 9,148 | | Selling Square Footage (Millions sq ft) | 81.2 | 81.2 | | Growth Rate (Square Footage, %) | 8.0% | 8.0% | | Sales per Square Foot (52 Weeks Ended Aug 2, 2025, $) | | $237 | [Reconciliation of Non-GAAP Financial Measures (Explanation)](index=18&type=section&id=Reconciliation%20of%20Non-GAAP%20Financial%20Measures%20%28Explanation%29) This section explains the company's non-GAAP financial measures, their purpose, and the rationale for not providing forward-looking reconciliations - Non-GAAP measures are used to supplement GAAP reporting, excluding unusual expenses like strategic review costs, store closure costs, and severance, to provide a clearer view of operating performance[56](index=56&type=chunk) - Free cash flow is calculated as net cash provided by operating activities less capital expenditures, serving as an important indicator of liquidity[57](index=57&type=chunk) - A forward-looking reconciliation of projected adjusted diluted EPS to GAAP is not provided due to the inherent difficulty in predicting the occurrence and financial impact of non-GAAP adjustments[58](index=58&type=chunk) [Reconciliation of Non-GAAP Financial Measures (Detailed)](index=19&type=section&id=Reconciliation%20of%20Non-GAAP%20Financial%20Measures%20%28Detailed%29) This detailed reconciliation adjusts GAAP figures for strategic review costs and other items to derive non-GAAP metrics for SG&A, operating income, and EPS Adjusted SG&A and Operating Income - Dollar Tree Segment (13 Weeks Ended Aug 2, 2025) | Metric | GAAP | Adjustments | Non-GAAP | | :----------------------------------- | :------- | :---------- | :------- | | SG&A expenses ($M) | $1,203.1M | $(0.7)M (Strategic review costs) | $1,202.4M | | SG&A expense rate (%) | 26.3% | | 26.3% | | Operating income ($M) | $367.0M | $0.7M (Strategic review costs) | $367.7M | | Operating income margin (%) | 8.0% | | 8.1% | Adjusted Operating Income, Income, EPS, and Tax Rate - Continuing Operations (13 Weeks Ended Aug 2, 2025) | Metric | GAAP | Adjustments | Non-GAAP | | :----------------------------------- | :------- | :---------- | :------- | | Operating income ($M) | $231.0M | $5.0M (Strategic review costs) | $236.0M | | Operating income margin (%) | 5.1% | | 5.2% | | Income from Continuing Operations ($M) | $155.5M | $5.0M (Strategic review costs), $(1.3)M (Tax impact) | $159.2M | | Diluted EPS from Continuing Operations ($) | $0.75 | $0.02 (Strategic review costs), $(0.01) (Tax impact) | $0.77 | | Effective tax rate (%) | 25.5% | — | 25.5% | Adjusted Operating Income, Income, EPS, and Tax Rate - Continuing Operations (26 Weeks Ended Aug 2, 2025) | Metric | GAAP | Adjustments | Non-GAAP | | :----------------------------------- | :------- | :---------- | :------- | | Operating income ($M) | $615.1M | $8.7M (Strategic review costs) | $623.8M | | Operating income margin (%) | 6.7% | | 6.8% | | Income from Continuing Operations ($M) | $469.0M | $8.7M (Strategic review costs), $(61.8)M (Insurance gain), $13.0M (Tax impact) | $428.9M | | Diluted EPS from Continuing Operations ($) | $2.22 | $0.04 (Strategic review costs), $(0.29) (Insurance gain), $0.06 (Tax impact) | $2.03 | | Effective tax rate (%) | 25.8% | 0.1% (Tax impact of non-GAAP adjustments) | 25.9% | [Reconciliation of Free Cash Flow](index=22&type=section&id=Reconciliation%20of%20Free%20Cash%20Flow) This reconciliation details free cash flow from continuing operations, calculated by subtracting capital expenditures from operating cash flow, totaling $145.3 million year-to-date Reconciliation of Free Cash Flow from Continuing Operations | Metric | 13 Weeks Ended Aug 2, 2025 | 13 Weeks Ended Aug 3, 2024 | 26 Weeks Ended Aug 2, 2025 | 26 Weeks Ended Aug 3, 2024 | | :----------------------------------- | :------------------------- | :------------------------- | :------------------------- | :------------------------- | | Net cash provided by operating activities of continuing operations (GAAP, $M) | $260.7M | $232.5M | $639.2M | $737.7M | | Deduct: Capital expenditures of continuing operations ($M) | $(245.1)M | $(347.8)M | $(493.9)M | $(664.3)M | | Free cash flow from continuing operations (Non-GAAP, $M) | $15.6M | $(115.3)M | $145.3M | $73.4M |

Core Viewpoint - Dollar Tree, Inc. (DLTR) is expected to report a significant decline in both revenue and earnings for the second quarter of fiscal 2025, with revenues projected at $4.5 billion, a decrease of 39.6% year-over-year, and earnings per share (EPS) estimated at 38 cents, reflecting a 43.3% drop from the previous year [1][2][10]. Financial Performance Expectations - The consensus estimate for revenues is $4.5 billion, indicating a 39.6% decline from the prior-year quarter [1][10]. - The consensus estimate for earnings is 38 cents per share, showing a decrease of 43.3% from the year-ago period [2][10]. - Dollar Tree has a trailing four-quarter negative earnings surprise of 6.9% on average, although it surpassed the Zacks Consensus Estimate by 5.9% in the last reported quarter [2]. Challenges and Strategic Responses - The company anticipates continued pressure on discretionary demand, particularly as the second quarter traditionally lacks major seasonal sales drivers [3]. - Adverse foreign currency translations are also expected to negatively impact results [3]. - To address these challenges, Dollar Tree is implementing cost management strategies, including supplier negotiations, product re-specifications, and shifting sourcing to alternative countries [4]. - Higher selling, general and administrative (SG&A) expenses are anticipated due to increased labor and store investments [5]. Growth Initiatives - Despite the expected decline in earnings, Dollar Tree is making progress on its expansion initiatives, including steady store openings and investments in distribution centers [7]. - The pending sale of Family Dollar is expected to enhance operational focus and improve cash flow, further supporting growth [7]. Valuation and Market Performance - Dollar Tree shares are currently trading at a forward 12-month price-to-earnings ratio of 18.31X, which is above the five-year median of 17.76X but below the industry average of 31.77X, indicating an attractive investment opportunity [11]. - The company's stock has gained 19.7% over the past three months, contrasting with a 3.7% decline in the industry [12].

Group 1 - The U.S. consumers are facing a new wave of price increases as companies from food giants to hardware chains warn that tariff costs are being passed on to retail prices [1][2] - Major retailers like Walmart, Target, and Best Buy have indicated that tariff-related price hikes are gradually reflected in the costs of grocery items, home goods, and electronics [1] - J.M. Smucker warned of a 22% drop in coffee profits due to tariffs, leading to further price increases [1] - Hormel Foods noted a sharp rise in commodity input costs after its quarterly performance fell short of expectations, resulting in a 12% drop in its stock price [1] - A recent ruling by a federal appeals court deemed most of Trump's global import tariffs unconstitutional, adding uncertainty to future costs for retailers and consumers [1] Group 2 - The former CEO of Gap expressed that the current situation is beyond control, indicating that businesses cannot determine the relationship between product costs, retail pricing, and profit margins [2] - Retail executives warned that more price increases are imminent as new inventory is procured at higher costs [2] - Walmart's CEO mentioned that the company is trying to maintain low prices as long as possible, but costs are expected to continue rising into the third and fourth quarters [2] - The economic pressure is forcing retailers to weigh how much cost can be absorbed and how much will inevitably be passed on to consumers [2] - A consumer confidence survey showed a nearly 6% decline in August compared to July, with inflation expectations rising from 4.5% to 4.8% [2] Group 3 - Consumer behavior in the U.S. is changing, with households across income levels becoming more selective about where and how they spend [3] - Whirlpool's CEO noted that consumers are starting to purchase lower-end products, while Procter & Gamble observed a slight downgrade in brand preferences [3] - The concept of "alternative consumption" is emerging, where consumers opt for cost-effective substitutes rather than purely downgrading [3] - Retailers like TJX, Ross, and Marshall's are benefiting as consumers seek lower-priced brand items [3]

Group 1 - Dollar Tree has not met expectations in recent years, indicating potential challenges for the company [1] - The investment service focuses on cash flow and companies that generate it, highlighting the importance of financial health in investment decisions [1] - The service offers a model account with over 50 stocks and in-depth analyses of exploration and production firms, suggesting a comprehensive approach to investment in the oil and gas sector [2] Group 2 - The service includes live chat discussions about the sector, emphasizing community engagement and real-time information sharing among subscribers [2] - A two-week free trial is available, encouraging potential investors to explore the offerings without initial commitment [3]

Group 1 - Dollar Tree Inc (NASDAQ:DLTR) stock reached a record high of $116.51 after Bernstein raised its price target to $109 from $86, despite a year-to-date gain of 54.5% [1] - The stock is entering a historically bearish period, with a monthly average loss of 8.2% in August over the past 10 years, finishing lower 80% of the time [2] - The stock's 14-Day Relative Strength Index (RSI) is at 72, indicating it is in "overbought" territory [3] Group 2 - Options trading is considered intriguing due to the stock's Schaeffer's Volatility Index (VIX) of 27%, which is in the bottom percentile of its annual range, suggesting low volatility expectations [5]

Summary of US Consumer Tracker (2Q25) Industry Overview - **Industry**: US Consumer Sector - **Key Focus**: Impact of inflation, consumer sentiment, and tariffs on spending behavior Core Insights 1. **Inflation and Consumer Income**: - Inflation has increased, with a notable rise to 2.7% in June 2025, while real disposable income has declined sequentially in May 2025 [3][15] - Tariff-driven inflation is expected to further impact consumer prices in the second half of 2025 [2] 2. **Consumer Sentiment**: - Consumer sentiment showed slight recovery in June but remains significantly lower year-to-date in 2025, particularly among high-income consumers concerned about inflation and employment [3][17] - The trade-down effect is evident as consumers shift to lower-priced options due to economic pressures [3][17] 3. **Retail Sales Trends**: - Retail sales growth has normalized after an earlier pull forward, indicating stable shopping behaviors despite economic challenges [3][21] - Categories such as home goods and toys have turned inflationary in Q2 2025, contributing to a weak consumer backdrop [3][87] 4. **Sector Performance**: - **Broadlines & Hardlines Retail**: Companies like Dollar General (DG), Dollar Tree (DLTR), and Walmart (WMT) are expected to benefit from trade-down trends, with WMT well-positioned due to its enhanced shopping experience [4] - **Specialty Retail**: Anticipated price increases of high single digits to low double digits for apparel and footwear, and over 20% for hard goods due to tariffs, may impact Q3 spending [5] - **Restaurants**: A macro deceleration in May affected spending, with potential declines in 2026 due to SNAP benefit reductions [6] - **Alcohol Sector**: Consumption is pressured by affordability concerns, particularly among low-income consumers [7] 5. **Investment Ratings**: - **Retailing**: Outperform ratings for WMT, COST, DG, and LOW; Market-Perform for HD and DLTR; Underperform for TGT [11] - **Food Sector**: Outperform ratings for MKC, MDLZ, SMPL, and CPB; Market-Perform for several others [11] - **Apparel & Specialty Retail**: Outperform ratings for brands like NKE, TJX, and LULU; Market-Perform for CPRI and ROST [11] Additional Insights 1. **Consumer Behavior**: - The gap between low-income and high-income consumer sentiment has narrowed, indicating a shift in spending patterns [13][17] - Cooking from scratch is increasing as consumers seek value amid rising prices [7] 2. **Economic Indicators**: - The unemployment rate remains low, but consumer credit growth has decelerated in a high-rate environment [13][51] - The 10-Year Treasury yield remains elevated, reflecting higher inflation expectations [46][48] 3. **Inflation Dynamics**: - Cumulative inflation since January 2019 is at 28%, with food and energy leading the increases [94][96] - General merchandise categories have recently turned inflationary, influenced by tariff-driven price increases [83] This summary encapsulates the key findings and implications from the US Consumer Tracker for Q2 2025, highlighting the challenges and opportunities within the consumer sector amidst ongoing economic pressures.

据新浪财经ESG评级中心，2025年07月30日，美元树（DLTR.US）MSCI（明晟）ESG评级由A调升至 AA。 点击查看更多企业ESG评级。 来源：ESG评级中心 ...