0000935703false00009357032024-12-042024-12-04

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): December 4, 2024
dollartreeicon.gif
DOLLAR TREE, INC.
(Exact name of registrant as specified in its charter)

Virginia0-2546426-2018846
(State or other jurisdiction of incorporation)(Commission File Number)(IRS Employer Identification No.)
500 Volvo Parkway
Chesapeake, Virginia23320
(Address of principal executive offices)(Zip Code)

(757) 321-5000
(Registrant’s telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading symbol(s)Name of each exchange on which registered
Common Stock, par value $.01 per shareDLTRNASDAQ Global Select Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐



If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐


Item 2.02. Results of Operations and Financial Condition.

Today, December 4, 2024, Dollar Tree, Inc. (the "Company") issued a press release reporting the Company's fiscal 2024 third quarter financial results and announcing that the Company will hold a publicly available telephone conference call to discuss these results. A copy of the press release is attached to this Form 8-K as Exhibit 99.1 and is incorporated herein by this reference.

The information contained in items 2.02 and 7.01, including that incorporated by reference, is being furnished to the Securities and Exchange Commission. Such information shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that Section. The information shall not be deemed incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, except as expressly set forth by specific reference in such filing.

Item 5.02. Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

The Company and Jeffrey A. Davis have agreed that Mr. Davis will step down from his role as the Company’s Chief Financial Officer, effective upon the appointment of his successor. To ensure a smooth transition, Mr. Davis has agreed to remain with the Company through the filing of its Annual Report on Form 10-K expected in March 2025. Mr. Davis has served as Chief Financial Officer of the Company since October 2022.

Upon his departure, Mr. Davis will be eligible to receive the severance payments and benefits provided under Section 5 of his executive agreement with the Company entered into on November 13, 2024.

Mr. Davis’s anticipated departure does not result from any disagreement with the Company on any matter relating to the Company’s operations, policies, or practices.

A WARNING ABOUT FORWARD-LOOKING STATEMENTS: This report contains "forward-looking statements" as that term is used in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they address future events, developments or results and do not relate strictly to historical facts. Any statements contained in this report that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements include, without limitation, statements preceded by, followed by or including words such as: “believe”, “anticipate”, “expect”, “intend”, “plan”, “view”, “target” or “estimate”, “may”, “will”, “should”, “predict”, “possible”, “potential”, “continue”, “strategy”, and similar expressions. For example, our forward-looking statements include statements relating to our plans and expectations regarding our leadership team and our business and our other plans, objectives, expectations (financial and otherwise) and intentions. All such statements are subject to risks and uncertainties. For a discussion of the risks, uncertainties and assumptions that could affect our future events, developments or results, you should carefully review the "Risk Factors," "Business" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections in our Annual Report on Form 10-K filed March 20, 2024, our Form 10-Q for the most recently ended fiscal quarter and other filings we make from time to time with the Securities and Exchange Commission. We are not obligated to release publicly any revisions to any forward-looking statements contained in this report to reflect events or circumstances occurring after the date of this report and you should not expect us to do so.

Item 7.01. Regulation FD Disclosure.

The information (including disclaimer) presented under Item 2.02 is incorporated by reference into this Item 7.01.




Item 9.01. Financial Statements and Exhibits.

(d)    Exhibits.

99.1
104The cover page from this Current Report on Form 8-K, formatted in Inline XBRL.





SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


   
 DOLLAR TREE, INC.
      
Date: December 4, 2024By:  /s/ Jeffrey A. Davis
 Jeffrey A. Davis
 Chief Financial Officer



Exhibit 99.1
image_0a.jpg
Dollar Tree, Inc. Reports Results for the
Third Quarter Fiscal 2024

•Same-Store Net Sales: Dollar Tree +1.8%; Family Dollar +1.9%; Enterprise +1.8%
•Diluted Earnings per Share (EPS) of $1.08 and Adjusted Diluted EPS of $1.12
•Fourth Quarter Fiscal 2024 Net Sales Outlook Range of $8.1 Billion to $8.3 Billion
•Fourth Quarter Fiscal 2024 Adjusted Diluted EPS Outlook Range of $2.10 to $2.30
•Full-Year Fiscal 2024 Net Sales Outlook Range of $30.7 Billion to $30.9 Billion
•Full-Year Fiscal 2024 Adjusted Diluted EPS Outlook Range of $5.31 to $5.51
•Family Dollar Review of Strategic Alternatives Remains on Track
•Announces Chief Financial Officer Transition

CHESAPEAKE, Va.--December 4, 2024--Dollar Tree, Inc. (NASDAQ: DLTR) today reported financial results for its third quarter ended November 2, 2024.

“Our Dollar Tree and Family Dollar merchandising efforts produced tangible results, and our third quarter sales came in at the high-end of our expected range,” said Mike Creedon, Interim Chief Executive Officer. “As an organization, our top priorities remain accelerating the growth of the Dollar Tree segment, completing the Family Dollar strategic review process, and unlocking value for Dollar Tree shareholders.”

Dollar Tree, Inc. and Jeff Davis have agreed that he will step down from his role as the Company’s Chief Financial Officer. The company has launched an external search and to ensure a smooth transition, Mr. Davis has agreed to remain with the company through the filing of its fiscal 2024 Form 10-K.

“We thank Jeff for his service and appreciate the contributions he made to the business during his time with Dollar Tree and Family Dollar. We remain committed to our business strategy and are focused on driving lasting value for our customers and shareholders,” Creedon added.

Additional Business Highlights

•Opened 249 new Dollar Tree and 6 new Family Dollar stores
•Approximately 2,300 Dollar Tree stores have been converted to in-line multi-price format
•Generated $785.6 million of net cash provided by operating activities
•Generated $359.2 million of free cash flow





Third Quarter 2024 Key Operating Results (unaudited)

(Compared to same period fiscal 2023)
Q3
Fiscal 2024

Change
Consolidated Net Sales
$7.56B
3.5%
Same-Store Net Sales Growth:
Dollar Tree Segment
1.8%
Family Dollar Segment
1.9%
Enterprise
1.8%
Operating Income
$333.4M
10.5%
Diluted EPS
$1.08
11.3%
Adjusted Operating Income1
$343.2M
13.8%
Adjusted Diluted EPS1
$1.12
15.5%
1Adjustments are for costs related to store closures and Family Dollar Strategic Review professional fees. See “Reconciliation of Non-GAAP Financial Measures” below for detailed schedules of these charges.

Third Quarter Results

Unless otherwise noted, all comparisons are to the prior year’s third quarter, ended October 28, 2023.

Consolidated net sales increased 3.5% to $7.56 billion. Enterprise same-store net sales increased 1.8%, driven by a 1.6% increase in traffic and a 0.2% increase in average ticket. Dollar Tree same-store net sales increased 1.8%, driven by a 1.5% increase in traffic and a 0.3% increase in average ticket. Family Dollar’s same-store net sales increased 1.9%, driven by a 1.8% increase in traffic and a flat average ticket. Same-store net sales results for the Family Dollar segment do not include any stores that were closed during the third quarter as part of our previously announced portfolio optimization.

Gross profit increased 7.6% to $2.34 billion and gross margin expanded 120 basis points to 30.9%. Gross margin expansion was driven primarily by lower freight costs and improved shrink results in relation to accruals, partially offset by increased distribution costs.

Selling, general and administrative expenses were 26.6% of total revenue, compared to 25.7%. The increase was driven primarily by higher depreciation expense from store investments, higher professional fees related to the review of Family Dollar strategic alternatives, temporary labor in the Dollar Tree segment to support our multi-price rollout, higher utilities costs, and loss of leverage from the low single-digit comparable store net sales increase.

On a non-GAAP basis, which excludes costs associated with store closings and costs associated with the strategic review, selling, general and administrative expenses were 26.5% of total revenue, compared to 25.7%.

Operating income increased 10.5% to $333.4 million and operating margin expanded 30 basis points to 4.4%. Adjusted operating income increased 13.8% to $343.2 million and adjusted operating margin expanded 40 basis points to 4.5%.

The Company’s effective tax rate was 23.7% compared to 21.8%. Adjusted effective tax rate was 23.8% compared to 21.8%.

Net income was $233.3 million and diluted earnings per share was $1.08. Adjusted net income was $240.6 million and adjusted diluted EPS was $1.12.





Year-to-Date Results

Unless otherwise noted, all comparisons are between the 39 weeks ended November 2, 2024, and the 39 weeks ended October 28, 2023.

Consolidated net sales increased 2.8% to $22.6 billion. Enterprise same-store sales increased 1.2%. Dollar Tree same-store sales increased 1.6%, driven by a 1.9% increase in traffic, partially offset by a 0.3% decline in average ticket. Family Dollar’s same-store sales increased 0.6%, driven by a 1.2% increase in traffic, partially offset by a 0.5% decline in average ticket.

Gross profit increased 5.5% to $6.9 billion and gross margin expanded 80 basis points to 30.6%.

Selling, general and administrative expenses were 26.4% of total revenue, compared to 25.2%. On a non-GAAP basis, selling, general and administrative expenses were 26.2% of total revenue, compared to 25.1%.

Operating income decreased 5.2% to $957.1 million and operating income margin decreased 40 basis points to 4.2%. Adjusted operating income decreased 4.1% to $996.9 million and adjusted operating income margin decreased 30 basis points to 4.4%.

The Company’s effective tax rate was 24.0% compared to 23.4%. Adjusted effective tax rate was 24.1% compared to 23.1%.

Net income was $665.8 million and diluted EPS was $3.08. Adjusted net income was $695.5 million and adjusted diluted EPS was $3.22.

The Company repurchased 3.28 million shares for $403.6 million, including applicable excise tax.

Strategic Alternatives Review Update

The Company continues to reiterate its commitment to completing its formal review of strategic alternatives for the Family Dollar business segment, which could include among others, a potential sale, spin-off, or other disposition of the business. The process is moving forward as planned. There is no set deadline or definitive timeline for the completion of the strategic alternatives review process, and there can be no assurance that this process will result in any transaction or particular outcome.

Portfolio Optimization Review

During the fourth quarter of fiscal 2023, we announced that we had initiated a comprehensive store portfolio optimization review which involved identifying stores for closure, relocation, or re-bannering based on an evaluation of current market conditions and individual store performance, among other factors. As a result of the portfolio optimization review, we identified approximately 970 underperforming Family Dollar stores, including approximately 600 stores to be closed in the first half of fiscal 2024, and approximately 370 stores to be closed at the end of each store's current lease term. As of November 2, 2024, we have closed approximately 670 stores identified under the portfolio optimization review and expect to close an additional 25 during the remainder of fiscal 2024.

Fiscal 2024 Outlook

The Company is updating its full-year fiscal 2024 consolidated net sales outlook range to $30.7 billion to $30.9 billion. The Company still expects to deliver comparable store net sales growth in the low-single-digits for the enterprise and both the Dollar Tree and Family Dollar segments.




Adjusted diluted EPS is expected to range from $5.31 to $5.51.

Fourth Quarter 2024 Outlook

The Company expects consolidated net sales for the fourth quarter will range from $8.1 billion to $8.3 billion, based on comparable store net sales growth in the low-single-digits for the enterprise and both the Dollar Tree and Family Dollar segments.

Adjusted diluted EPS for the fourth quarter 2024 is estimated to be in the range of $2.10 to $2.30.

While share repurchases are not included in the outlook, the Company has approximately $952 million remaining under its $2.5 billion share repurchase authorization as of November 2, 2024.

Conference Call Information

On Wednesday, December 4, 2024, the Company will host a conference call to discuss its earnings results at 8:00 a.m. Eastern Time. The telephone number for the call is (877) 407-3943 or (201) 689-8855. A recorded version of the call will be available for seven days after the call and may be accessed by dialing (877) 660-6853 or (201) 612-7415. The access code is 13750113. A webcast of the call is also accessible through the Investor Relations portion of the Company’s website.

Supplemental financial information for the third quarter is available on the Investor Relations portion of the Company’s website, at https://corporate.dollartree.com/investors.

Dollar Tree, a Fortune 200 Company, operated 16,590 stores across 48 states and five Canadian provinces as of November 2, 2024. Stores operate under the brands of Dollar Tree, Family Dollar, and Dollar Tree Canada. To learn more about the Company, visit www.DollarTree.com.

Use of Non-GAAP Financial Measures

The Company reports its financial results in accordance with accounting principles generally accepted in the United States (“GAAP”). From time-to-time, the Company supplements the reporting of its financial information determined under GAAP with certain non-GAAP financial information. The non-GAAP financial measures we have disclosed include adjusted selling, general and administrative expenses; adjusted selling, general and administrative expense rate; adjusted operating income (loss); adjusted operating income (loss) margin; adjusted net income; adjusted diluted earnings per share; adjusted effective tax rate; and free cash flow.

Reconciliations of the non-GAAP financial measures to the corresponding amounts prepared in accordance with GAAP appears in the tables under the heading “Reconciliation of Non-GAAP Financial Measures” below. These tables provide additional information regarding the adjusted measures.

A WARNING ABOUT FORWARD-LOOKING STATEMENTS: Our press release contains "forward-looking statements" as that term is used in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they address future events, developments or results and do not relate strictly to historical facts. Any statements contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements include, without limitation, statements preceded by, followed by or including words such as: “believe”, “anticipate”, “expect”, “intend”, “plan”, “view”, “target” or “estimate”, “may”, “will”, “should”, “predict”, “possible”, “potential”, “continue”, “strategy”, and similar expressions. For example, our forward-looking statements include statements relating to our business and financial outlook for fiscal 2024, including without limitation our expectations regarding net sales, comparable store sales and adjusted diluted earnings per share for the fourth fiscal quarter and full fiscal year 2024, and various factors that are expected to impact our quarterly and annual results of operations for fiscal 2024; our plans and expectations regarding our leadership team and our business, including the impact of various initiatives, investments, and reviews on the company’s performance and prospects for long-term growth; our plans to close, relocate or re-banner stores as a result of our store portfolio optimization review; the impacts of tornado damage to our Dollar Tree distribution center in Marietta, Oklahoma, including expectations regarding inventory and property damage, related losses, the availability of insurance coverage and expected insurance recoveries, changes within our supply chain network and our customer shopping experience; and our other plans, objectives, expectations (financial and otherwise) and intentions, including our review of strategic alternatives at our Family Dollar segment. These statements are subject to risks and uncertainties. For a discussion of the risks, uncertainties and assumptions that could affect our future events, developments or results, you should carefully review the "Risk Factors," "Business" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections in our Annual Report on Form 10-K filed March 20, 2024, our Form 10-Q for the most recently ended fiscal quarter and other filings we make from time to time with the Securities and Exchange Commission. We are not obligated to release publicly any revisions to any forward-looking statements contained in this press release to reflect events or circumstances occurring after the date of this report and you should not expect us to do so.



CONTACT:Dollar Tree, Inc.
Robert A. LaFleur, 757-991-5645
Senior Vice President, Investor Relations
www.DollarTree.com
DLTR-E






DOLLAR TREE, INC.
Condensed Consolidated Income Statements
(In millions, except per share data)
(Unaudited)
13 Weeks Ended39 Weeks Ended
November 2, 2024October 28, 2023November 2, 2024October 28, 2023
Revenues
Net sales$7,561.7 $7,309.1 $22,560.8 $21,948.7 
Other revenue6.5 5.7 19.0 15.2 
Total revenue7,568.2 7,314.8 22,579.8 21,963.9 
Expenses
Cost of sales5,224.3 5,136.1 15,661.2 15,410.6 
Selling, general and administrative expenses2,010.5 1,877.0 5,961.5 5,544.1 
Operating income333.4 301.7 957.1 1,009.2 
Interest expense, net27.5 30.4 80.8 80.5 
Other expense, net0.1 0.2 0.2 0.2 
Income before income taxes305.8 271.1 876.1 928.5 
Provision for income taxes72.5 59.1 210.3 217.1 
Net income$233.3 $212.0 $665.8 $711.4 
Net earnings per share:
Basic$1.09 $0.97 $3.08 $3.23 
Weighted average number of shares215.0 218.9 215.9 220.0 
Diluted$1.08 $0.97 $3.08 $3.23 
Weighted average number of shares215.2 219.2 216.1 220.5 
Selling, general and administrative expense rate26.6 %25.7 %26.4 %25.2 %
Operating income margin4.4 %4.1 %4.2 %4.6 %
Income before income taxes as percentage of total revenue4.0 %3.7 %3.9 %4.2 %
Effective tax rate23.7 %21.8 %24.0 %23.4 %
Net income margin3.1 %2.9 %2.9 %3.2 %
The selling, general and administrative expense rate, operating income margin and net income margin are calculated by dividing the applicable amount by total revenue.







DOLLAR TREE, INC.
Segment Information
(In millions)
(Unaudited)
13 Weeks Ended39 Weeks Ended
November 2, 2024October 28, 2023November 2, 2024October 28, 2023
Net sales:
Dollar Tree$4,338.0 $4,003.8 $12,569.1 $11,808.9 
Family Dollar3,223.7 3,305.3 9,991.7 10,139.8 
Total net sales$7,561.7 $7,309.1 $22,560.8 $21,948.7 
Gross profit:
Dollar Tree$1,534.1 35.4 %$1,393.8 34.8 %$4,401.9 35.0 %$4,075.7 34.5 %
Family Dollar803.3 24.9 %779.2 23.6 %2,497.7 25.0 %2,462.4 24.3 %
Total gross profit$2,337.4 30.9 %$2,173.0 29.7 %$6,899.6 30.6 %$6,538.1 29.8 %
Operating income (loss):
Dollar Tree$465.2 10.7 %$482.7 12.1 %$1,329.5 10.6 %$1,416.2 12.0 %
Family Dollar1.6 — %(66.3)(2.0 %)23.9 0.2 %(45.7)(0.5 %)
Corporate, support and other(133.4)(1.8 %)(114.7)(1.6 %)(396.3)(1.8 %)(361.3)(1.6 %)
Total operating income$333.4 4.4 %$301.7 4.1 %$957.1 4.2 %$1,009.2 4.6 %

















DOLLAR TREE, INC.
Condensed Consolidated Balance Sheets
(In millions)
(Unaudited)
November 2, 2024February 3, 2024October 28, 2023
ASSETS
Current Assets:
Cash and cash equivalents$697.6 $684.9 $444.6 
Merchandise inventories5,535.1 5,112.8 5,515.1 
Other current assets398.8 335.0 342.4 
Total current assets6,631.5 6,132.7 6,302.1 
Restricted cash75.1 72.3 71.0 
Property, plant and equipment, net6,675.7 6,144.1 5,714.6 
Operating lease right-of-use assets6,721.3 6,488.3 6,767.9 
Goodwill912.8 913.8 1,981.9 
Trade name intangible asset2,150.0 2,150.0 3,100.0 
Deferred tax asset5.3 9.0 11.1 
Other assets161.1 113.3 82.6 
Total assets$23,332.8 $22,023.5 $24,031.2 
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Short-term borrowings$— $— $229.6 
Current portion of long-term debt1,000.0 — — 
Current portion of operating lease liabilities1,539.5 1,513.0 1,493.7 
Accounts payable2,945.1 2,063.8 1,857.0 
Income taxes payable8.0 52.7 — 
Other current liabilities920.7 1,067.2 1,067.6 
Total current liabilities6,413.3 4,696.7 4,647.9 
Long-term debt, net, excluding current portion2,430.0 3,426.3 3,425.1 
Operating lease liabilities, long-term5,580.2 5,447.6 5,539.9 
Deferred income taxes, net964.5 841.1 1,165.3 
Income taxes payable, long-term21.3 22.0 19.7 
Other liabilities287.4 276.7 235.1 
Total liabilities15,696.7 14,710.4 15,033.0 
Shareholders' equity7,636.1 7,313.1 8,998.2 
Total liabilities and shareholders' equity$23,332.8 $22,023.5 $24,031.2 
The February 3, 2024 information was derived from the audited consolidated financial statements as of that date.



DOLLAR TREE, INC.
Condensed Consolidated Statements of Cash Flows
(In millions)
(Unaudited)
39 Weeks Ended
November 2, 2024October 28, 2023
Cash flows from operating activities:
Net income$665.8 $711.4 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization736.7 614.8 
Provision for deferred income taxes126.8 63.1 
Stock-based compensation expense84.3 76.4 
Impairments1.2 2.4 
Other non-cash adjustments to net income8.3 44.7 
Changes in operating assets and liabilities165.1 (83.2)
Total adjustments1,122.4 718.2 
Net cash provided by operating activities1,788.2 1,429.6 
Cash flows from investing activities:
Capital expenditures(1,399.3)(1,317.2)
Proceeds from insurance recoveries45.0 — 
Payments for fixed asset disposition(4.8)(5.1)
Net cash used in investing activities(1,359.1)(1,322.3)
Cash flows from financing activities:
Proceeds from commercial paper notes3,206.1 948.0 
Repayments of commercial paper notes(3,206.1)(718.9)
Proceeds from stock issued pursuant to stock-based compensation plans7.7 7.6 
Cash paid for taxes on exercises/vesting of stock-based compensation(20.6)(38.6)
Payments for repurchase of stock(400.0)(500.0)
Net cash used in financing activities(412.9)(301.9)
Effect of exchange rate changes on cash, cash equivalents and restricted cash(0.7)(1.1)
Net increase (decrease) in cash, cash equivalents and restricted cash15.5 (195.7)
Cash, cash equivalents and restricted cash at beginning of period757.2 711.3 
Cash, cash equivalents and restricted cash at end of period$772.7 $515.6 




DOLLAR TREE, INC.
Segment Information
(Unaudited)
13 Weeks Ended
November 2, 2024October 28, 2023
Dollar
Tree		Family
Dollar		TotalDollar
 Tree		Family
 Dollar		Total
Store Count:
Beginning8,6277,76116,3888,1778,29916,476
New stores249625510790197
Re-bannered stores (a)—(4)(4)1(9)(8)
Closings(8)(41)(49)(13)(30)(43)
Ending8,8687,72216,5908,2728,35016,622
Selling Square Footage (in millions)78.359.0137.371.963.4135.3
Growth Rate (Square Footage)8.9 %(6.9 %)1.5 %2.3 %3.8 %3.0 %
39 Weeks Ended
November 2, 2024October 28, 2023
Dollar
Tree		Family
Dollar		TotalDollar
Tree		Family
Dollar		Total
Store Count:
Beginning8,4158,35916,7748,1348,20616,340
New stores49275567187235422
Re-bannered stores (a)8(14)(6)5(10)(5)
Closings(47)(698)(745)(54)(81)(135)
Ending8,8687,72216,5908,2728,35016,622
Selling Square Footage (in millions)78.359.0137.371.963.4135.3
Growth Rate (Square Footage)8.9 %(6.9 %)1.5 %2.3 %3.8 %3.0 %
(a) Stores are included as re-banners when they close or open, respectively.
52 Weeks Ended
November 2, 2024October 28, 2023
Dollar
Tree		Family
Dollar		TotalDollar
Tree		Family
Dollar		Total
Sales per Square Foot (b)$233$223$229$227$218$222
(b) Sales per square foot is calculated based on total net sales for the reporting period divided by the average selling square footage during the period.



DOLLAR TREE, INC.
Reconciliation of Non-GAAP Financial Measures
(In millions, except per share data)
(Unaudited)
From time-to-time, the Company discloses certain financial measures not derived in accordance with GAAP. These non-GAAP financial measures should not be used as a substitute for GAAP financial measures, or considered in isolation, for the purposes of analyzing operating performance, financial position, liquidity, or cash flows. The non-GAAP financial measures we have disclosed include adjusted selling, general and administrative expenses; adjusted selling, general and administrative expense rate; adjusted operating income (loss); adjusted operating income (loss) margin; adjusted net income; adjusted diluted earnings per share; adjusted effective tax rate; and free cash flow. The Company believes providing additional information in these non-GAAP measures that exclude the unusual expenses described below is beneficial to the users of its financial statements in evaluating the Company's current operating results in relation to past periods. In addition, the Company's debt covenants exclude the impact of certain unusual expenses. The Company has included a reconciliation of these non-GAAP financial measures to the most comparable GAAP measures in the following tables.
1.) In the first quarter of fiscal 2023, the Company recorded a $30.0 million charge to its legal reserve for West Memphis-related matters. In the fourth quarter of fiscal 2023, an additional $26.7 million charge was recorded to the legal reserve for these matters. In the first quarter of fiscal 2024, the existing reserve was reduced by $2.5 million based on updated information.
2.) During the fourth quarter of fiscal 2023, we announced that we had initiated a comprehensive store portfolio optimization review which involved identifying stores for closure, relocation or re-bannering based on an evaluation of current market conditions and individual store performance, among other factors. In connection with this portfolio optimization review, we closed approximately 630 Family Dollar stores in the first three quarters of fiscal 2024 and incurred more than $25 million of costs including severance and retention expenses for impacted associates and other related closure costs. This included the closure of approximately 30 Family Dollar stores during the third quarter of fiscal 2024 and more than $1 million of costs incurred.
3.) During the first quarter of fiscal 2024, a tornado destroyed our Dollar Tree distribution center in Marietta, Oklahoma ("DC 8"). We incurred losses for damaged inventory and property and equipment, which are fully insured and therefore not contemplated in the non-GAAP adjustments below. In the second quarter of fiscal 2024, we incurred $2.2 million of severance-related costs for employees at DC 8.
4.) During the second quarter of fiscal 2024, we announced that we had initiated a formal review of strategic alternatives for the Family Dollar segment, which could include among others, a potential sale, spin-off or other disposition of the business. Since the second quarter of fiscal 2024, we incurred consulting and other expenses totaling $14.5 million related to the strategic review, including $8.3 million during the third quarter of fiscal 2024.
In addition, the Company discloses free cash flow, a non-GAAP financial measure that we calculate as net cash provided by operating activities less capital expenditures. The Company believes free cash flow is an important indicator of our liquidity as it measures the amount of cash we generate from our business operations. Free cash flow may not represent the amount of cash flow available for general discretionary use, because it excludes non-discretionary expenditures, such as mandatory debt repayments and required settlements of recorded and/or contingent liabilities not reflected in cash flow from operations. The Company has included a reconciliation of free cash flow to the most comparable GAAP measures in the following tables.
A reconciliation of the projected adjusted diluted EPS, which is a forward-looking non-GAAP financial measure, to the most directly comparable GAAP financial measure, is not provided because the company is unable to provide such reconciliation without unreasonable effort. The inability to provide a reconciliation is due to the uncertainty and inherent difficulty predicting the occurrence, the financial impact and the periods in which the non-GAAP adjustments may be recognized. GAAP measures may include the impact of such items as litigation reserves; restructuring charges; goodwill and intangible asset impairments; natural disasters; our store portfolio optimization review and strategic review of Family Dollar, and the tax effect of all such items. Historically, the company has excluded these items from non-GAAP financial measures. The company currently expects to continue to exclude these items in future disclosures of non-GAAP financial measures and may also exclude other items that may arise (collectively, “non-GAAP adjustments”). The decisions and events that typically lead to the recognition of non-GAAP adjustments, such as a decision to exit part of the business or reaching settlement of a legal dispute, are inherently unpredictable as to if or when they may occur. For the same reasons, the company is unable to address the probable significance of the unavailable information, which could be material to future results.
Reconciliation of Adjusted Selling, General and Administrative Expenses13 Weeks Ended39 Weeks Ended
November 2, 2024October 28, 2023November 2, 2024October 28, 2023
Selling, general and administrative expenses (GAAP)$2,010.5 26.6 %$1,877.0 25.7 %$5,961.5 26.4 %$5,544.1 25.2 %
Deduct: Store Closure Costs(1.5)— %— — %(25.6)(0.1 %)— — %
Add/Deduct: Legal Reserve— — %— — %2.5 — %(30.0)(0.1 %)
Deduct: Strategic Review Costs(8.3)(0.1 %)— — %(14.5)(0.1 %)— — %
Deduct: Severance— — %— — %(2.2)— %— — %
Total adjustments(9.8)(0.1 %)— — %(39.8)(0.2 %)(30.0)(0.1 %)
Adjusted selling, general and administrative expenses (Non-GAAP)$2,000.7 26.5 %$1,877.0 25.7 %$5,921.7 26.2 %$5,514.1 25.1 %



DOLLAR TREE, INC.
Reconciliation of Non-GAAP Financial Measures
(In millions, except per share data)
(Unaudited)
Reconciliation of Adjusted Selling, General and Administrative Expenses - Dollar Tree Segment13 Weeks Ended39 Weeks Ended
November 2, 2024October 28, 2023November 2, 2024October 28, 2023
Selling, general and administrative expenses (GAAP)$1,069.0 24.6 %$911.1 22.8 %$3,072.5 24.4 %$2,659.5 22.5 %
Deduct: Severance— — %— — %(2.2)— %— — %
Deduct: Strategic Review Costs(1.2)— %— — %(1.2)— %— — %
Total adjustments(1.2)— %— — %(3.4)— %— — %
Adjusted selling, general and administrative expenses (Non-GAAP)$1,067.8 24.6 %$911.1 22.8 %$3,069.1 24.4 %$2,659.5 22.5 %
Reconciliation of Adjusted Selling, General and Administrative Expenses - Family Dollar Segment13 Weeks Ended39 Weeks Ended
November 2, 2024October 28, 2023November 2, 2024October 28, 2023
Selling, general and administrative expenses (GAAP)$805.0 24.9 %$848.3 25.6 %$2,483.2 24.8 %$2,515.5 24.8 %
Deduct: Store Closure Costs(1.6)— %— — %(23.2)(0.2 %)— — %
Add/Deduct: Legal Reserve— — %— — %2.5 — %(30.0)(0.3 %)
Deduct: Strategic Review Costs(7.1)(0.2 %)— — %(13.3)(0.1 %)— — %
Total adjustments(8.7)(0.2 %)— — %(34.0)(0.3 %)(30.0)(0.3 %)
Adjusted selling, general and administrative expenses (Non-GAAP)$796.3 24.7 %$848.3 25.6 %$2,449.2 24.5 %$2,485.5 24.5 %



DOLLAR TREE, INC.
Reconciliation of Non-GAAP Financial Measures
(In millions, except per share data)
(Unaudited)
Reconciliation of Adjusted Operating Income13 Weeks Ended39 Weeks Ended
November 2, 2024October 28, 2023November 2, 2024October 28, 2023
Operating income (GAAP)$333.4 4.4 %$301.7 4.1 %$957.1 4.2 %$1,009.2 4.6 %
SG&A adjustments:
Add: Store Closure Costs1.5 — %— — %25.6 0.1 %— — %
Add/Deduct: Legal Reserve— — %— — %(2.5)— %30.0 0.1 %
Add: Strategic Review Costs8.3 0.1 %— — %14.5 0.1 %— — %
Add: Severance— — %— — %2.2 — %— — %
Total adjustments9.8 0.1 %— — %39.8 0.2 %30.0 0.1 %
Adjusted operating income (Non-GAAP)$343.2 4.5 %$301.7 4.1 %$996.9 4.4 %$1,039.2 4.7 %
Reconciliation of Adjusted Operating Income - Dollar Tree Segment13 Weeks Ended39 Weeks Ended
November 2, 2024October 28, 2023November 2, 2024October 28, 2023
Operating income (GAAP)$465.2 10.7 %$482.7 12.1 %$1,329.5 10.6 %$1,416.2 12.0 %
SG&A adjustments:
Add: Severance— — %— — %2.2 — %— — %
Add: Strategic Review Costs1.2 — %— — %1.2 — %— — %
Total adjustments1.2 — %— — %3.4 — %— — %
Adjusted operating income (Non-GAAP)$466.4 10.7 %$482.7 12.1 %$1,332.9 10.6 %$1,416.2 12.0 %
Reconciliation of Adjusted Operating Income (Loss) - Family Dollar Segment13 Weeks Ended39 Weeks Ended
November 2, 2024October 28, 2023November 2, 2024October 28, 2023
Operating income (loss) (GAAP)$1.6 — %$(66.3)(2.0 %)$23.9 0.2 %$(45.7)(0.5 %)
SG&A adjustments:
Add: Store Closure Costs1.6 — %— — %23.2 0.2 %— — %
Add/Deduct: Legal Reserve— — %— — %(2.5)— %30.0 0.3 %
Add: Strategic Review Costs7.1 0.2 %— — %13.3 0.1 %— — %
Total adjustments8.7 0.2 %— — %34.0 0.3 %30.0 0.3 %
Adjusted operating income (loss) (Non-GAAP)$10.3 0.2 %$(66.3)(2.0 %)$57.9 0.5 %$(15.7)(0.2 %)



DOLLAR TREE, INC.
Reconciliation of Non-GAAP Financial Measures
(In millions, except per share data)
(Unaudited)
Reconciliation of Adjusted Net Income13 Weeks Ended39 Weeks Ended
November 2, 2024October 28, 2023November 2, 2024October 28, 2023
Net income (GAAP)$233.3 $212.0 $665.8 $711.4 
SG&A adjustments:
Add: Store Closure Costs1.5 — 25.6 — 
Add/Deduct: Legal Reserve— — (2.5)30.0 
Add: Strategic Review Costs8.3 — 14.5 — 
Add: Severance— — 2.2 — 
Total adjustments9.8 — 39.8 30.0 
Provision for income taxes on adjustments(2.5)— (10.1)(3.9)
Adjusted net income (Non-GAAP)$240.6 $212.0 $695.5 $737.5 
Reconciliation of Adjusted Diluted Earnings Per Share13 Weeks Ended39 Weeks Ended
November 2, 2024October 28, 2023November 2, 2024October 28, 2023
Diluted net income per share (GAAP)$1.08 $0.97 $3.08 $3.23 
SG&A adjustments:
Add: Store Closure Costs0.01 — 0.12 — 
Add/Deduct: Legal Reserve— — (0.01)0.14 
Add: Strategic Review Costs0.04 — 0.07 — 
Add: Severance— — 0.01 — 
Total adjustments0.05 — 0.19 0.14 
Provision for income taxes on adjustments(0.01)— (0.05)(0.02)
Adjusted diluted net income per share (Non-GAAP)$1.12 $0.97 $3.22 $3.35 
Reconciliation of Adjusted Effective Tax Rate13 Weeks Ended39 Weeks Ended
November 2, 2024October 28, 2023November 2, 2024October 28, 2023
Effective tax rate (GAAP)23.7 %21.8 %24.0 %23.4 %
Add/Deduct: Tax impact of non-GAAP adjustments (c)0.1 %— %0.1 %(0.3 %)
Adjusted effective tax rate (Non-GAAP)23.8 %21.8 %24.1 %23.1 %
(c) Adjustments related to the tax effect of non-GAAP adjustments, which were determined based on the nature of the underlying non-GAAP adjustments and their relevant tax rates.



DOLLAR TREE, INC.
Reconciliation of Non-GAAP Financial Measures
(In millions, except per share data)
(Unaudited)
Reconciliation of Net Cash Provided by (Used in) Operating Activities to Free Cash Flow13 Weeks Ended39 Weeks Ended
November 2, 2024October 28, 2023November 2, 2024October 28, 2023
Net cash provided by (used in) operating activities (GAAP)$785.6 $505.8 $1,788.2 $1,429.6 
Deduct:
Capital expenditures(426.4)(541.4)(1,399.3)(1,317.2)
Free cash flow (Non-GAAP)$359.2 $(35.6)$388.9 $112.4 
Net cash provided by (used in) investing activities (GAAP) (d)$(409.1)$(541.3)$(1,359.1)$(1,322.3)
Net cash provided by (used in) financing activities (GAAP)$(248.0)$(29.7)$(412.9)$(301.9)
(d) Net cash provided by (used in) investing activities includes capital expenditures, which is included in our computation of free cash flow.

v3.24.3
Cover Page
Dec. 04, 2024
Cover [Abstract]  
Document Type 8-K
Document Period End Date Dec. 04, 2024
Entity Registrant Name DOLLAR TREE, INC.
Entity Incorporation, State or Country Code VA
Entity File Number 0-25464
Entity Tax Identification Number 26-2018846
Entity Central Index Key 0000935703
Amendment Flag false
Entity Address, Address Line One 500 Volvo Parkway
Entity Address, City or Town Chesapeake,
Entity Address, State or Province VA
Entity Address, Postal Zip Code 23320
City Area Code 757
Local Phone Number 321-5000
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common Stock, par value $.01 per share
Trading Symbol DLTR
Security Exchange Name NASDAQ
Entity Emerging Growth Company false
Dollar Tree (NASDAQ:DLTR)
Historical Stock Chart
From Dec 2024 to Dec 2024 Click Here for more Dollar Tree Charts.
Dollar Tree (NASDAQ:DLTR)
Historical Stock Chart
From Dec 2023 to Dec 2024 Click Here for more Dollar Tree Charts.