Dollar Tree's same-store sales rise 7%, led by Family Dollar
Analysts were expecting sales to rise 4.4% in the quarter
Dollar Tree Inc., the parent of both Dollar Tree and Family Dollar stores, reported same-store sales rose 7% in the first quarter, spurred by its Family Dollar brand.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| DLTR | DOLLAR TREE INC. | 66.40 | +0.64 | +0.97% |
According to FactSet, analysts were expecting sales to rise 4.4% in the quarter. The spike was led by Family Dollar stores where same-store sales rose almost 16%, the company said. Same-store sales at Dollar Tree stores fell 0.9%, the company reported.
DOLLAR TREE GRAPPLES WITH LOWER SALES, FAMILY DOLLAR COSTS
The company's first-quarter net sales were $6.29 billion, up from $5.81 billion. Wall Street, FactSet said, was expecting $6.14 billion.
Dollar Tree also said it had $73.2 million in operating costs for the Covid-19 pandemic. It said that money went toward expenses like supplies and wage premiums. Selling, general and administrative expenses rose 6.5% and operating income at the company fell.
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The company Thursday reported a first-quarter profit of $247.6 million, which fell 7.6% from $267.9 million a year earlier. Earnings at the company were $1.04 a share, down from $1.12 a share. Analysts' consensus expectations was for 90 cents a share, FactSet said.