Sector: Consumer Staples|Industry: Discount Stores|Market Cap: $16.47B|Employees: 212K
Dollar Tree, Inc. operates retail discount stores. The company operates in two segments, Dollar Tree and Family Dollar. The Dollar Tree segment offers merchandise at the fixed price of $ 1.25. It provides consumable merchandise, which includes everyday consumables, such as household paper and chemicals, food, candy, health, personal care products, and frozen and refrigerated food; variety merchandise comprising toys, durable housewares, gifts, stationery, party goods, greeting cards, softlines, arts and crafts supplies, and other items; and seasonal goods that include Christmas, Easter, Halloween, and Valentine’s Day merchandise. It operates stores under the Dollar Tree and Dollar Tree Canada brands, as well as distribution centers in the United States and Canada. The Family Dollar segment operates general merchandise retail discount stores that offer consumable merchandise, which comprise food and beverages, tobacco, health and personal care, household chemicals, paper products, hardware and automotive supplies, diapers, batteries, and pet food and supplies; and home products, including housewares, home décor, and giftware, as well as domestics, such as comforters, sheets, and towels. It also provides apparel and accessories merchandise comprising clothing, fashion accessories, and shoes; and seasonal and electronics merchandise that include Christmas, Easter, Halloween, and Valentine’s Day merchandise, as well as personal electronics, which comprise pre-paid cellular phones and services, stationery and school supplies, and toys. Dollar Tree, Inc. was founded in 1986 and is based in Chesapeake, Virginia.
Net sales increased 12.3% to $4,566.8 million for the 13 weeks ended August 2, 2025, compared to $4,065.5 million in the prior year. This growth was primarily fueled by a 6.5% increase in comparable store net sales, resulting from a 3.4% rise in average ticket and a 3.0% increase in customer traffic.
Gross profit margin for the 13 weeks ended August 2, 2025, improved by 20 basis points to 34.4%, attributed to better mark-on from pricing initiatives and lower domestic freight costs. However, operating income margin decreased by 20 basis points to 5.1% for the same period, primarily due to a 60 basis point increase in the selling, general and administrative expense rate.
Net income for the 13 weeks ended August 2, 2025, rose to $188.4 million from $132.4 million in the prior year, with diluted EPS from continuing operations increasing to $0.75 from $0.66. This improvement was also bolstered by a positive income of $32.9 million from discontinued operations, compared to a loss of $9.9 million in the prior year.