Press release
Dollar Tree, Inc. Reports Results for the First Quarter Fiscal 2020
~ Consolidated Net Sales Increased 8.2% to $6.29 Billion ~ ~ Diluted Earnings per Share of $1.04 ~ ~ Enterprise Same-Store Sales Increased 7.0% ~ ~
About this update from Dollar Tree, Inc.
[{"type":"text","content":"\n~ Consolidated Net Sales Increased 8.2% to $6.29 Billion ~\n~ Diluted Earnings per Share of $1.04 ~\n~ Enterprise Same-Store Sales Increased 7.0% ~\n~ Same-Store Sales by Segment: Family Dollar +15.5%, Dollar Tree -0.9% ~\n\n CHESAPEAKE, Va.--(BUSINESS WIRE)--\nDollar Tree, Inc. (NASDAQ: DLTR), today reported financial results for its first quarter ended May 2, 2020.\n\n\n“I am extremely proud of the team’s extraordinary efforts to serve customers through what has been an incredibly tumultuous time,” stated Gary Philbin, Chief Executive Officer. “After a relatively normal first month in the quarter, our stores experienced an unprecedented spike in demand for certain products in March. The teams quickly rose to the challenge to make our stores safer for associates and customers by following CDC guidelines, along with enhanced cleaning protocols. We were focused and dedicated to delivering essentials to customers when they needed us most.”\n\n\nMike Witynski, Enterprise President, added, “Family Dollar delivered strong same-store sales with a 15.5% increase and a 230 basis point improvement in operating margin. Dollar Tree same-store sales decreased by 90 basis points, as the seasonal and discretionary business was materially impacted by lower Easter holiday sales. The most negatively impacted categories - party, candy, and Easter - affected Dollar Tree’s overall comp for the quarter by approximately 490 basis points.”\n\n\nFirst Quarter Results\n\n\nConsolidated net sales increased 8.2% to $6.29 billion from $5.81 billion in the prior year’s first quarter. Enterprise same-store sales increased 7.0%. Same-store sales for Family Dollar increased 15.5%. Dollar Tree same-store sales decreased 0.9%.\n\n\nGross profit increased 3.9% to $1.79 billion in the quarter compared to the prior year’s first quarter. As a percentage of net sales, gross margin was 28.5% compared to a gross margin of 29.7% in the prior year. The decrease in gross margin was driven by merchandise mix, incremental tariffs of $23 million, markdowns related to Easter merchandise, and higher distribution center payroll costs, partially offset by leverage on occupancy costs from stronger same-store sales.\n\n\nSelling, general and administrative expenses were 22.7% of net sales compared to 23.1% of net sales in the prior year's first quarter. The improvement was drive...