DLTR
Dollar Tree Inc
Q3 2024 Report
Dollar Tree Inc (DLTR) Q3 2024 Financial Results: Steady Growth Amid Transformation...
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Executive Summary
Dollar Tree Inc reported its Q2 2024 results on August 3, 2024, exhibiting a modest 0.7% increase in net sales to $7.4 billion, yet falling short of expectations due to adverse macroeconomic factors impacting customer spending behavior. The company faced particular headwinds with its higher-income shoppers, reflecting a shift in discretionary spending patterns, while the Family Dollar segment aligned closely with previous performance metrics. Despite a promising multi-price rollout with 1,600 converted stores achieving a 4.6% comp lift, the overall performance necessitated an adjustment of FY24 EPS guidance down to a range of $5.20 to $5.60, indicating management's cautious outlook amidst these pressures and a commitment to strategic transformation initiatives.
Key Performance Indicators
Revenue
7.38B
QoQ: -3.33% | YoY:0.87%
Gross Profit
2.22B
30.10% margin
QoQ: -5.67% | YoY:1.92%
Operating Income
203.10M
QoQ: -51.71% | YoY:-32.68%
Net Income
132.40M
QoQ: -55.88% | YoY:-37.55%
EPS
0.62
QoQ: -55.07% | YoY:-36.08%
Revenue Trend
Margin Analysis
Key Insights
- Q2 Revenue: $7.38 billion (YoY increase of 0.87%)
- Q2 Gross Profit: $2.22 billion (Gross Profit Margin: 30.1%)
- Operating Income: $203 million (Operating Margin: 2.75%)
- Net Income: $132 million (EPS: $0.62, down 36.08% YoY)
- Operating Cash Flow: $307 million (compared to $172 million YoY)