Dollar Tree Reports Strong Q2 Sales, Raises 2025 Outlook

Dollar Tree reported strong financial results for the second quarter of fiscal 2025, with net sales increasing 12.3% to $4.6 billion and same-store sales growing 6.5%, surpassing analyst expectations. The company achieved adjusted earnings of 77 cents per share, well above the forecasted 42 cents, driven by increased customer traffic and higher average ticket sizes. Following the completion of the Family Dollar sale, Dollar Tree has shifted focus solely to its core brand, generating around $800 million in cash and repurchasing over $1 billion in shares year-to-date. The company raised its full-year net sales guidance to a range of $19.3 billion to $19.5 billion, with comparable sales growth expected between 4% and 6%, reflecting confidence in continued demand for low-cost goods. Despite this strong performance, the stock declined after the company issued a more cautious third-quarter forecast. Dollar Tree's CEO emphasized that the business is now fully focused on strengthening the Dollar Tree brand, supported by margin improvements and market share gains.