Core Points - PesoRama Inc. is set to open its 28th store in Agrícola Oriental, Mexico, on July 24, 2025, enhancing its presence in the market [1][3] - The new store spans 502 square meters and is strategically located within the Hospital de la Luz complex, opposite a subway station, ensuring high foot traffic [2] - The company aims to expand further in high-density areas to increase accessibility for consumers seeking everyday essentials [3][7] Company Overview - PesoRama operates under the JOi Dollar Plus brand, focusing on value dollar store retailing in Mexico [7] - Since its launch in 2019, the company has targeted high-density, high-traffic locations, currently operating 27 stores with the upcoming 28th store [7] - The merchandise includes household goods, pet supplies, seasonal products, health and beauty items, and snack foods, catering to a wide range of consumer needs [7]

Investment Rating - Industry view is rated as "In-Line" [6] - Specific company view is rated as "Attractive" [15] Core Insights - Demand for Temu continues to decline, with household purchases at a record low and purchase expectations trailing competitors [2][4] - The removal of the de minimis exemption and high China tariff rates have significantly impacted engagement with Temu [2] - Dollar Stores are expected to benefit from Temu's market share loss, with a hypothetical 30% decline in US sales potentially representing ~$5 billion in market share being transferred to Dollar Stores and other retailers [2] - Temu's US GMV is projected to compound over the next several years, reaching approximately $39 billion by 2030, with profitability expected in 2025 [2] Summary by Sections Consumer Survey Data - Approximately 18% of respondents reported shopping on Temu in the past three months, marking a record low since the survey began in September 2023 [4][9] - Net purchase frequency expectations for Temu are at -25% in June 2025, the lowest among tracked retailers [12] - Web traffic and visitor trends for Temu have shown a significant drop, with traffic down 81% and visitors down 78% compared to March [16] App Performance - Temu app downloads and monthly active users (MAUs) have continued to decline, with downloads down 85% year-over-year and MAUs at approximately 49% of peak levels [17][20] Competitive Landscape - Shopper overlap ratios for Dollar Stores have declined, indicating that Temu's competitive threat is waning [21] - BURL and TJX have seen increases in customer overlap with Temu, while ROST has experienced a decline, suggesting a shift in market dynamics [24][27]

Toronto, Ontario--(Newsfile Corp. - June 10, 2025) - PesoRama Inc. (TSXV: PESO) (OTC Pink: PSSOF) (FSE: ZE6) ("PesoRama" or the "Company"), a Canadian company operating dollar stores in Mexico under the JOi Dollar Plus brand, is pleased to announce a non-brokered private placement of 33,333,333 units of the Company (each, a "Unit") at a price of $0.15 per Unit (the "Offering Price") for gross proceeds of up to $5,000,000 (the "LIFE Offering") pursuant to the Listed Issuer Financing Exemption under Part 5A ...

The dollar stores, such as Dollar General NYSE: DG and Dollar Tree NASDAQ: DLTR, have stock prices trading at discount levels in 2025. The discounts were deserved, driven by sluggish retail business and much-needed rationalizations that are now underway. The takeaway for investors in June is that both turnaround stories are gaining traction, but only one is a buy today. The difference is in the guidance issued for the year. Both will struggle with headwinds, including tariffs and a consumer pullback, but Do ...

Financial Data and Key Metrics Changes - The fourth quarter adjusted EPS from continuing operations was $2.11, reflecting a decrease from the previous year [27][28] - Adjusted operating income decreased by 15% to $628 million, with an adjusted operating margin decline of 230 basis points [28][29] - Net sales from continuing operations increased by 0.7% to $5 billion, while consolidated net sales were $8.3 billion, at the high end of the outlook range [17][28] Business Line Data and Key Metrics Changes - Dollar Tree's comp sales increased by 2%, with traffic up 0.7% and ticket up 1.3% [12][13] - Consumables comp increased by 4.2%, while discretionary comp was 0.4%, marking its first positive reading since Q4 of the previous year [13] - The expanded multi-price assortment contributed positively, with three-point-zero stores seeing a 220 basis point comp lift compared to other formats [14][15] Market Data and Key Metrics Changes - Middle-income customers, making up about half of the customer base, are increasingly seeking value, while higher-income customers are also turning to Dollar Tree for cost-effective options [11][12] - The company noted a shift in consumer behavior towards value-seeking alternatives across all income groups [11][12] Company Strategy and Development Direction - The sale of Family Dollar for over $1 billion is aimed at allowing Dollar Tree to focus on its core business and enhance long-term value creation [7][8] - The company plans to expand its multi-price offerings and improve operational efficiency to drive sustainable growth [10][11] - The strategic separation is expected to enable better management and focus on each brand's distinct needs [7][8] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's ability to navigate tariff impacts and maintain value for customers [18][19] - The outlook for fiscal year 2025 anticipates sales growth between $18.5 billion and $19.1 billion, with comparable store sales growth of 3% to 5% [36][41] - The company expects to mitigate tariff impacts through various strategies, including supplier negotiations and sourcing flexibility [19][20] Other Important Information - The company ended the year with $1.3 billion in cash and cash equivalents, with no borrowings under its revolving credit facility [31][32] - Capital expenditures for 2025 are expected to be between $1.2 billion and $1.3 billion, including approximately 400 new Dollar Tree store openings [41] Q&A Session Summary Question: Tariff mitigation strategies and new price points - Management confirmed that they have successfully mitigated 90% of the first round of tariffs and are actively working on strategies for the second round [48][49] Question: Financial impact of tariffs and sourcing portfolio - Management clarified that the first round of tariffs is included in the 2025 forecast, while the second round remains uncertain [54][55] Question: Business philosophy and margin management - Management emphasized a focus on strong margins while continuing to invest in the business for long-term growth [62][63] Question: Trends among different income groups - Management noted that all income cohorts are increasingly finding value at Dollar Tree, with a particular emphasis on middle-income shoppers [74][75] Question: Product priorities and comp growth - Management highlighted the importance of seasonal and discretionary products, aiming to balance the assortment to meet customer needs [78][79] Question: Performance of three-point-zero format stores - Management reported positive performance from three-point-zero stores, with ongoing improvements expected as the program matures [83][84]