Dollar Tree(US:DLTR)2025-10-15 16:30Strategic Initiatives and Financial Outlook - The company is implementing a strategic plan to improve earnings through store expansion, productivity, gross margin improvements, and cost leverage[6] - The company plans to invest in product assortment, cost management, customer connections, marketing, store growth, operations, supply chain, and technology[6] - The company is focused on long-term growth, including new store openings and comparable store sales growth[6] - The company is targeting capital allocation priorities and strategies to drive growth in free cash flow[6] Non-GAAP Financial Measures and Adjustments - The company uses non-GAAP financial measures, including adjusted selling, general, and administrative expenses, to evaluate operating results[10] - In fiscal year 2025, adjusted selling, general, and administrative expenses were $5512 million, compared to GAAP expenses of $6392 million after deducting store closure costs, strategic review costs, software impairments, and stock option acceleration costs[16] - Free cash flow for the 52 weeks ended February 1, 2025, was $8928 million, calculated as net cash provided by operating activities of $21933 million less capital expenditures of $13005 million[18] Corporate Restructuring and Related Costs - The company incurred $23 million in fiscal 2024 and $43 million in fiscal 2023 related to store portfolio optimization review costs[12] - The company incurred $03 million in fiscal 2024 related to strategic review costs[12] - The company recorded software impairments and related contract termination costs of approximately $583 million in the fourth quarter of fiscal 2024[12]