Companies /Consumer Defensive

Dollar Tree Inc

NASDAQ: DLTR Discount Stores
$112.16
▼ $2.27 (−1.98%) today
Markets closed · 2:25pm ET

Q2 2025 Earnings

Reported Sep 3, 2025, 6:32am ET · SEC source
$0.77
Beat +87.67%
EPS · est. $0.41 Adjusted

Includes approximately $0.20 of positive impact from the timing of inventory mark-on and tariffs. Non-GAAP adjustments exclude $5.0 million of strategic review costs related to the Family Dollar sale.

$4.6B
Beat +1.93%
Revenue · est. $4.5B
−15.8%
Trailing market
DLTR vs S&P since report
6 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−12%−8%−4%0Sep 3Sep 4report 6:32am ETearnings+0.4%−11.9%
−12%−8%−4%0Sep 3Sep 4earnings+0.4%−11.9%
DLTR −11.9%S&P 500 +0.4%
−12%−8%−4%0Sep 3Sep 4report 6:32am ETearnings+0.4%−11.9%
−12%−8%−4%0Sep 3Sep 4earnings+0.4%−11.9%
DLTR −11.9%NASDAQ +0.4%
−10%−5%0+5%Sep 2Sep 10report 6:32am ETearnings+1.3%−7.5%
−10%−5%0+5%Sep 2Sep 10earnings+1.3%−7.5%
DLTR −7.5%S&P 500 +1.3%
−10%−5%0+5%Sep 2Sep 10report 6:32am ETearnings+1.9%−7.5%
−10%−5%0+5%Sep 2Sep 10earnings+1.9%−7.5%
DLTR −7.5%NASDAQ +1.9%
−8.37%
Day of report
−1.74%
Next session
−3.12%
One week
−11.81%
30 days

S&P 500 over the same 30 days: +3.96%.

Did DLTR Beat Earnings? Q2 2025 Results

Dollar Tree delivered a standout second quarter for fiscal 2025, posting adjusted diluted EPS of $0.77 against a consensus estimate of $0.41, an 87.67% beat, as the company began operating as a focused, standalone banner following the July completion of its Family Dollar divestiture. Revenue from continuing operations reached $4.57 billion, edging past the $4.48 billion consensus by 1.93%, though the reported figure reflects a 38.1% year-over-year decline due to the removal of Family Dollar's contribution from the comparable base. The most compelling driver was same-store net sales growth of 6.5%, fueled by a 3.0% increase in traffic and a 3.4% rise in average ticket, signaling that consumers across income groups are actively choosing Dollar Tree rather than being pushed there by necessity alone. Gross margin expanded 20 basis points to 34.4%, supported by pricing initiatives and lower domestic freight costs. Looking ahead, management raised its full-year net sales outlook to $19.30 billion to $19.50 billion and guided adjusted diluted EPS of $5.32 to $5.72, with the company noting that a roughly $0.20 tariff timing tailwind embedded in Q2 is expected to reverse in Q3.

Key Takeaways
  • Same-store net sales growth of 6.5% driven by 3.0% traffic increase and 3.4% ticket increase
  • Improved mark-on from pricing initiatives
  • Lower domestic freight costs
  • Lower occupancy costs due to sales leverage
  • Favorable product mix
  • Conversion of approximately 585 stores to multi-price 3.0 format
  • 106 new Dollar Tree stores opened in Q2

“The strong sales growth, margin outperformance, and market share gains that Dollar Tree delivered in the second quarter against an increasingly challenging economic backdrop reinforces the unique position that Dollar Tree occupies in today's retail landscape.”

Dollar Tree CEO, on the earnings call

Forward Guidance & Outlook

Dollar Tree raised its full-year fiscal 2025 net sales outlook to $19.3 billion to $19.5 billion, based on comparable store net sales growth of 4% to 6%. The company updated its adjusted diluted EPS from continuing operations outlook to $5.32 to $5.72, reflecting the current operating environment and year-to-date share repurchases. Additional share repurchases are not included in the updated outlook. The outlook assumes current tariff levels remain in effect and that the company can mitigate most incremental margin pressure from higher tariffs and other input costs. For Q3 2025, the company expects the approximately $0.20 positive tariff timing impact to reverse, with adjusted diluted EPS expected to be similar to Q3 2024.

DLTR YoY Financials

Q2 2025 vs Q2 2024 · SEC filings Q2 2024 Q2 2025
$0$3.0B$6.0B$7.4B$4.6BRevenue$2.2B$1.6BGross Profit$203.1M$231.0MOperating Income$132.4M$155.5MNet Income
$0$3.0B$6.0BRevenueGross ProfitOperating IncomeNet Income

DLTR Revenue by Segment

Dollar Tree$4.6B
Family Dollar

Figures from SEC filings and company reports. Not investment advice.