Dollar Tree, Inc. Reports Strong Second Quarter Results
Comparable store net sales growth included a 3.3% increase in average ticket and a 0.4% increase in traffic
Diluted EPS of $2.70, including a $1.31 benefit related to the net impact of tariff refunds
Operating income margin expanded 900 basis points including a 650 basis point benefit related to the net impact of tariff refunds
Adjusted operating income margin expanded 890 basis points including a 650 basis point benefit related to the net impact of tariff refunds
Increasing fiscal 2026 adjusted EPS outlook to a range of $7.70 to $8.05 including an approximate $0.60 benefit related to the net impact of tariff refunds
Q3 fiscal 2026 outlook of 3% to 4% comparable net sales growth and adjusted EPS of $0.80 to $0.95 including a $0.50 impact related to tariff refund reinvestments CHESAPEAKE, Va. – August 27, 2026 – Dollar Tree, Inc. (NASDAQ: DLTR) today reported financial results for its second quarter ended August 1, 2026.
"What continues to set Dollar Tree apart is our ability to deliver value, convenience, and the excitement of discovery all in one shopping trip,” said Mike Creedon, Chief Executive Officer. “Positive traffic trends helped drive strong comparable sales growth and EPS exceeded the high end of our outlook. Our strategies are unlocking a better assortment in better-run stores, while allowing us to engage customers in more relevant and compelling ways. While we are proud of the progress we have made, we are even more focused on the opportunities ahead as we continue investing in the customer experience, strengthening the business, and driving profitable long-term growth."
• Converted or added about 710 stores to the Dollar Tree multi-price format, ending the quarter with approxi mately 6,600 multi-price s tores
• Generated $922 million of net cash provided by operating activities from continuing operations and $675 million of free cash flow
• Q3 quarter-to-date share repurchases totaled $5.3 million 1 Net impact of tariff refunds includes the impact of IEEPA tariff refunds totaling $383 million, including $369 million in cost of sales and $14 million of interest in other income, net, reinvestment expenses totaling $22 million in cost of sales and $15 million in selling, general and administrative expenses, and $13 million of certain duties on aluminum pans and paper plates recorded in cost of sales, all net of tax 1 • Ended the quarter with 9,436 sto res across the Dollar Tree U.S. and Dollar Tree Canada banners
Second Quarter 2026 Key Operating Results (unaudited) (from continuing operations unless otherwise noted) (Compared to same period fiscal 2025) Q2 Change Fiscal 2026 Net Sales $4.9B 7.0% Same-Store Net Sales Growth 3.7% Operating Income $690M 198.7% Diluted EPS $2.70 260.0% Adjusted Operating Income1 $690M 192.4% Adjusted Diluted EPS1 $2.70 250.6% 1For the second quarter of 2025, adjustments are for strategic review costs. See "Reconciliation of Non-GAAP Financial Measures" below for detailed schedules of this adjustment for the prior year comparable period.
Results for the second quarter ended August 1, 2026 are presented on a continuing operations basis. Continuing operations reflect the results of the Dollar Tree U.S. and Dollar Tree Canada banners.
Unless otherwise noted, all comparisons are to the prior-year second quarter ended August 2, 2025 for the results of continuing operations.
Net sales increased 7.0% to $4.9 billion. Comparable store net sales increased 3.7%, driven by a 3.3% increase in average ticket and a 0.4% increase in traffic.
Gross profit margin increased 850 basis points to 42.9% and included 680 basis points related to the net impact of tariff refunds . The remaining improvement in gross margin rate was primarily driven by lower tariff rates, favorable shrink, and occupancy leverage, partially offset by sales mix.
Selling, general and administrative expenses decreased 40 basis points to 29.2% of total revenue. SG&A included 30 basis points of tariff refund related reinvestment. The remaining year-over-year decrease primarily reflected lower payroll expenses partially offset by higher marketing and depreciation.
Adjusted selling, general and administrative expenses inclusive of transition services agreement income, net decreased 50 basis points as a percent of total revenue and included 30 basis points of tariff refund related reinvestment.
Transition services agreement income, net was $18 million for services provided between Dollar Tree and Family Dollar following the sale.
Operating income was $690 million and operating income margin was 14.1%. Operating income margin expanded 900 basis points versus the prior year period and included a 650 basis point benefit 2 related to the net impact of tariff refunds. Adjusted operating income margin expanded 890 basis points including a 650 basis point benefit related to the net impact of tariff refunds.
The Company’s effective tax rate was 25.0%, compared to 25.5% in the prior-year period.
Income from continuing operations was $515 million and diluted earnings per share was $2.70, including a $1.31 benefit related to the net impact of tariff refunds.
The Company repurchased 5.6 million shares of its common stock during the second quarter of fiscal 2026 for $605 million, excluding applicable excise tax.
As of August 1, 2026, the Company had $2.5 billion remaining under its share repurchase authorization, $1.1 billion of cash and cash equivalents, no commercial paper outstanding, and no borrowings under its revolving credit facility.
Results for the 26 weeks ended August 1, 2026 are presented on a continuing operations basis. Continuing operations reflect the results of the Dollar Tree U.S. and Dollar Tree Canada banners.
Unless otherwise noted, all comparisons are to the prior-year 26 weeks ended August 2, 2025 for the results of continuing operations.
Net sales increased 7.1% to $9.9 billion. Comparable store net sales increased 3.6%, driven by a 3.9% increase in average ticket, partially offset by a 0.3% decrease in traffic.
Gross profit increased 21.9% to $3.9 billion and gross profit margin expanded 480 basis points to 39.8%, which includes a 340 basis point benefit from the net impact of tariff refunds. The remaining year-over-year improvement reflected higher mark-up from pricing initiatives, lower shrink and lower import freight costs, partially offset by higher tariff costs.
Selling, general and administrative expenses were 28.5% of total revenue, compared with 28.4% in the prior-year period. The increase primarily reflected higher marketing investments, general liability costs and depreciation expense from store investments, partially offset by lower payroll expenses.
Adjusted selling, general and administrative expenses inclusive of transition services agreement income, net decreased 20 basis points as a percent of total revenue.
Transition services agreement income, net was $39 million for services provided between Dollar Tree and Family Dollar following the sale.
Operating income increased 89.1% to $1.16 billion and operating income margin expanded approximately 510 basis points to 11.8%. Adjusted operating income margin expanded 500 basis points including a 320 basis point benefit related to the net impact of tariff refunds.
The Company’s effective tax rate was 25.0%, compared with 25.8% in the prior- year period. 3 Income from continuing operations was $862 million and diluted earnings per share from continuing operations was $4.44, including a $1.29 net benefit of tariff refunds.
The Company repurchased 11.1 million shares for $1.2 billion, excluding applicable excise tax.
• Net sales from continuing operations of $20.5 billion to $20.7 billion, based on comparable store net sales growth of 3% to 4%
• Adjusted diluted EPS of $7.70 to $8.05 including an approximate $0.60 benefit related to the net impact of tariff refunds
• Net sales from continui ng operations of $5.0 to $5.1 billion, based on comparable store net sales growth in the range of 3.0% to 4.0%.
• Third quarter diluted EPS is currently expected to be in the range of $0.80 to $0.95 including an approximate $0.50 impact related to tariff refund reinvestments
On August 27, 2026, 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 13762117. A webcast of the call is also accessible through the Investor Relations portion of the Company’s website.
Supplemental financial information for the second quarter is available on the Investor Relations portion of the Company’s website, at https://corporate.dollartree.com/investors.
Dollar Tree, Inc., headquartered in Chesapeake, VA, is one of North America’s largest and most loved value retailers, known for delivering great value, convenience, and a “thrill-of-the-hunt” discovery shopping experience. With a team of more than 150,000 associates, Dollar Tree operates more than 9,400 stores and 19 distribution centers across 48 contiguous states and seven Canadian provinces under the brands Dollar Tree and Dollar Tree Canada. The Company is committed to being a responsible steward of its business – supporting its people, serving its communities, and creating lasting value. To learn more about the Company, visit www.DollarTree.com. 4
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 corporate selling, general and administrative expenses, exclusive and inclusive of transition services agreement income, net; adjusted corporate selling, general and administrative expenses, exclusive and inclusive of transition services agreement income, net as a percentage of total revenue; adjusted selling, general and administrative expenses, exclusive and inclusive of transition services agreement income, net; adjusted selling, general and administrative expenses, exclusive and inclusive of transition services agreement income, net as a percentage of total revenue; adjusted selling, general and administrative expenses, exclusive of corporate selling, general and administrative expenses; adjusted selling, general and administrative expenses, exclusive of corporate selling, general and administrative expenses as a percentage of total revenue; adjusted operating income; adjusted operating income margin; adjusted income from continuing operations; adjusted income from continuing operations as a percentage of total revenue; adjusted diluted earnings per share - continuing operations; and adjusted effective tax rate, in each case with respect to our continuing operations; 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 2026, including without limitation our expectations regarding net sales, comparable store sales and adjusted diluted earnings per share for the third fiscal quarter and full fiscal year 2026, new store openings and closings for 2026 and various factors that are expected to impact our quarterly and annual results of operations for fiscal 2026; the direct and indirect impacts of current and potential tariffs and other trade-related measures and our plans to mitigate those impacts; tariff refunds and our reinvestment plans; our plans and expectations regarding our business, including the impact of various initiatives, investments, and strategies on the company’s performance and prospects for long-term growth; and our other plans, objectives, expectations (financial and otherwise) and intentions. 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 16, 2026, 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. Except as otherwise required by law, 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. Daniel Delrosario Senior Vice President, Investor Relations and Treasurer Investorinfo@dollartree.com
DOLLAR TREE, INC. Condensed Consolidated Statements of Cash Flows (In millions) (Unaudited) Cash flows from operating 26 Weeks Ended activities: August 1, 2026 August 2, 2025 ────────────────────────────────────────────────────────────────────────────── Net income $ 861.8 $ 531.8 Income from discontinued — 62.8 operations, net of tax Income from continuing $ 861.8 $ 469.0 operations Adjustments to reconcile income from continuing operations to net cash provided by operating activities: Depreciation and 356.8 313.1 amortization Provision for deferred income 193.9 158.7 taxes Stock-based 40.7 31.6 compensation expense Impairments 0.4 0.1 Gain on insurance proceeds related to — -41.0 fixed assets Other non-cash adjustments to income 22.6 14.6 from continuing operations Changes in operating assets and liabilities: Merchandise 40.2 -7.4 inventories Income taxes 3.0 -18.0 receivable Other current assets -4.4 -52.7 Other assets -17.0 -17.3 Accounts payable 97.2 -114.0 Income taxes payable — -121.0 Other current -38.6 41.1 liabilities Other liabilities 19.4 15.5 Operating lease right-of-use assets -10.5 -33.1 and liabilities, net Net cash provided by operating activities of 1,565.5 639.2 continuing operations Cash flows from investing activities: Capital expenditures -498.8 -493.9 Proceeds from sale of discontinued — 668.0 operations Cash divested from sale of discontinued — -246.0 operations Proceeds from — 50.0 insurance recoveries Proceeds from (payments for) fixed -1.0 0.7 asset disposition Net cash used in investing activities of -499.8 -21.2 continuing operations Cash flows from financing activities: Proceeds from 500.0 — long-term debt Principal payments — -1,000.0 for long-term debt Debt-issuance costs — -3.8 Proceeds from commercial paper — 3,692.9 notes Repayments of commercial paper — -3,393.7 notes Proceeds from stock issued pursuant to 3.8 4.9 stock-based compensation plans Cash paid for taxes on exercises/vesting -18.7 -12.1 of stock-based compensation Payments for -1,208.9 -924.2 repurchase of stock Net cash used in -723.8 -1,636.0 financing activities Cash flows from discontinued operations: Net cash provided by operating activities of — 343.3 discontinued operations Net cash used in investing activities of — -79.8 discontinued operations Net cash provided by discontinued — 263.5 operations Effect of exchange rate changes on cash, -0.8 0.6 cash equivalents and restricted cash Net change in cash, cash equivalents and 341.1 -753.9 restricted cash Cash, cash equivalents and restricted 760.7 1,511.2 cash at beginning of period Cash, cash equivalents and restricted $ 1,101.8 $ 757.3 cash at end of 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 corporate selling, general and administrative expenses, exclusive and inclusive of transition services agreement income, net; adjusted corporate selling, general and administrative expenses, exclusive and inclusive of transition services agreement income, net as a percentage of total revenue; adjusted selling, general and administrative expenses, exclusive and inclusive of transition services agreement income, net; adjusted selling, general and administrative expenses, exclusive and inclusive of transition services agreement income, net as a percentage of total revenue; adjusted selling, general and administrative expenses, exclusive of corporate selling, general and administrative expenses; adjusted selling, general and administrative expenses, exclusive of corporate selling, general and administrative expenses as a percentage of total revenue; adjusted operating income; adjusted operating income margin; adjusted income from continuing operations; adjusted income from continuing operations as a percentage of total revenue; adjusted diluted earnings per share - continuing operations; and adjusted effective tax rate, in each case with respect to our continuing operations. The Company believes providing additional information in these non-GAAP measures that exclude the unusual expenses and income 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. During the first quarter of fiscal 2025, the Company entered into a definitive agreement to sell the Family Dollar business, and completed the sale on July 5, 2025. We incurred consulting, legal and other expenses related to the sale 1.) and separation activities, including costs associated with optimizing the remaining Dollar Tree business post-divestiture. Costs associated with these activities incurred in the second quarter and first half of fiscal 2025 totaled $5.0 million and $8.7 million, respectively. During the first quarter of fiscal 2024, a tornado destroyed our Dollar Tree distribution center in Marietta, Oklahoma ("DC 8"). As a result of the destruction, we have incurred losses totaling $129.0 million, consisting of $70.0 million related to damaged inventory and $59.0 million related to property and equipment. These losses are fully insured and therefore not contemplated in the non-GAAP adjustments below. Since the end of the first quarter of fiscal 2024, we 2.) have received insurance proceeds totaling $125.0 million related to damaged inventory, and $100.0 million related to damaged property, including $70.0 million in the first quarter of fiscal 2025 and $5.2 million in the first quarter of fiscal 2026. In the fourth quarter of fiscal 2024, we recorded a gain of $29.7 million for insurance proceeds received. We recorded additional gains in the first quarters of fiscal 2025 and fiscal 2026 totaling $61.8 million and $5.2 million, respectively, for insurance proceeds received.
DOLLAR TREE, INC. Reconciliation of Non-GAAP Financial Measures (In millions, except per share data) (Unaudited) 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 and sale 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.
Full text with the tables
Exhibit 99.1
Dollar Tree, Inc. Reports Strong Second Quarter Results
•
Total sales growth of 7.0%
•
Comparable store net sales increased 3.7% on top of 6.5% last year
•
Comparable store net sales growth included a 3.3% increase in average ticket and
a 0.4% increase in traffic
•
Diluted EPS of $2.70, including a $1.31 benefit related to the net impact of
tariff refunds
1
•
Operating income margin expanded 900 basis points including a 650 basis point
benefit related to the net impact of tariff refunds
•
Adjusted operating income margin expanded 890 basis points including a 650 basis
point benefit related to the net impact of tariff refunds
•
Returned $605 million to shareholders through share repurchases in Q2
•
Increasing fiscal 2026 adjusted EPS outlook to a range of $7.70 to $8.05
including an approximate $0.60 benefit related to the net impact of tariff
refunds
•
Q3 fiscal 2026 outlook of 3% to 4% comparable net sales growth and adjusted EPS
of $0.80 to $0.95 including a $0.50 impact related to tariff refund
reinvestments
CHESAPEAKE, Va. – August 27, 2026 – Dollar Tree, Inc. (NASDAQ: DLTR) today
reported financial results for its second quarter ended August 1, 2026.
"What continues to set Dollar Tree apart is our ability to deliver value,
convenience, and the excitement of discovery all in one shopping trip,” said
Mike Creedon, Chief Executive Officer. “Positive traffic trends helped drive
strong comparable sales growth and EPS exceeded the high end of our outlook. Our
strategies are unlocking a better assortment in better-run stores, while
allowing us to engage customers in more relevant and compelling ways. While we
are proud of the progress we have made, we are even more focused on the
opportunities ahead as we continue investing in the customer experience,
strengthening the business, and driving profitable long-term growth."
Additional Business Highlights
• Open ed 75 ne w Dollar Tree stores during the quarter
• Converted or added about 710 stores to the Dollar Tree multi-price format,
ending the quarter with approxi mately 6,600 multi-price s tores
• Generated $922 million of net cash provided by operating activities from
continuing operations and $675 million of free cash flow
• Q3 quarter-to-date share repurchases totaled $5.3 million
1 Net impact of tariff refunds includes the impact of IEEPA tariff refunds
totaling $383 million, including $369 million in cost of sales and $14 million
of interest in other income, net, reinvestment expenses totaling $22 million in
cost of sales and $15 million in selling, general and administrative expenses,
and $13 million of certain duties on aluminum pans and paper plates recorded in
cost of sales, all net of tax
1
• Ended the quarter with 9,436 sto res across the Dollar Tree U.S. and Dollar
Tree Canada banners
Second Quarter 2026 Key Operating Results
(unaudited)
(from continuing operations unless otherwise noted)
(Compared to same period fiscal 2025) Q2 Change
Fiscal 2026
Net Sales $4.9B 7.0%
Same-Store Net Sales Growth 3.7%
Operating Income $690M 198.7%
Diluted EPS $2.70 260.0%
Adjusted Operating Income1 $690M 192.4%
Adjusted Diluted EPS1 $2.70 250.6%
1For the second quarter of 2025,
adjustments are for strategic review
costs. See "Reconciliation of Non-GAAP
Financial Measures" below for detailed
schedules of this adjustment for the
prior year comparable period.
Second Quarter Results
Results for the second quarter ended August 1, 2026 are presented on a
continuing operations basis. Continuing operations reflect the results of the
Dollar Tree U.S. and Dollar Tree Canada banners.
Unless otherwise noted, all comparisons are to the prior-year second quarter
ended August 2, 2025 for the results of continuing operations.
Net sales increased 7.0% to $4.9 billion. Comparable store net sales increased
3.7%, driven by a 3.3% increase in average ticket and a 0.4% increase in
traffic.
Gross profit margin increased 850 basis points to 42.9% and included 680 basis
points related to the net impact of tariff refunds . The remaining improvement
in gross margin rate was primarily driven by lower tariff rates, favorable
shrink, and occupancy leverage, partially offset by sales mix.
Selling, general and administrative expenses decreased 40 basis points to 29.2%
of total revenue. SG&A included 30 basis points of tariff refund related
reinvestment. The remaining year-over-year decrease primarily reflected lower
payroll expenses partially offset by higher marketing and depreciation.
Adjusted selling, general and administrative expenses inclusive of transition
services agreement income, net decreased 50 basis points as a percent of total
revenue and included 30 basis points of tariff refund related reinvestment.
Transition services agreement income, net was $18 million for services provided
between Dollar Tree and Family Dollar following the sale.
Operating income was $690 million and operating income margin was 14.1%.
Operating income margin expanded 900 basis points versus the prior year period
and included a 650 basis point benefit
2
related to the net impact of tariff refunds. Adjusted operating income margin
expanded 890 basis points including a 650 basis point benefit related to the net
impact of tariff refunds.
The Company’s effective tax rate was 25.0%, compared to 25.5% in the prior-year
period.
Income from continuing operations was $515 million and diluted earnings per
share was $2.70, including a $1.31 benefit related to the net impact of tariff
refunds.
The Company repurchased 5.6 million shares of its common stock during the second
quarter of fiscal 2026 for $605 million, excluding applicable excise tax.
As of August 1, 2026, the Company had $2.5 billion remaining under its share
repurchase authorization, $1.1 billion of cash and cash equivalents, no
commercial paper outstanding, and no borrowings under its revolving credit
facility.
Year-to-Date Results
Results for the 26 weeks ended August 1, 2026 are presented on a continuing
operations basis. Continuing operations reflect the results of the Dollar Tree
U.S. and Dollar Tree Canada banners.
Unless otherwise noted, all comparisons are to the prior-year 26 weeks ended
August 2, 2025 for the results of continuing operations.
Net sales increased 7.1% to $9.9 billion. Comparable store net sales increased
3.6%, driven by a 3.9% increase in average ticket, partially offset by a 0.3%
decrease in traffic.
Gross profit increased 21.9% to $3.9 billion and gross profit margin expanded
480 basis points to 39.8%, which includes a 340 basis point benefit from the net
impact of tariff refunds. The remaining year-over-year improvement reflected
higher mark-up from pricing initiatives, lower shrink and lower import freight
costs, partially offset by higher tariff costs.
Selling, general and administrative expenses were 28.5% of total revenue,
compared with 28.4% in the prior-year period. The increase primarily reflected
higher marketing investments, general liability costs and depreciation expense
from store investments, partially offset by lower payroll expenses.
Adjusted selling, general and administrative expenses inclusive of transition
services agreement income, net decreased 20 basis points as a percent of total
revenue.
Transition services agreement income, net was $39 million for services provided
between Dollar Tree and Family Dollar following the sale.
Operating income increased 89.1% to $1.16 billion and operating income margin
expanded approximately 510 basis points to 11.8%. Adjusted operating income
margin expanded 500 basis points including a 320 basis point benefit related to
the net impact of tariff refunds.
The Company’s effective tax rate was 25.0%, compared with 25.8% in the prior-
year period.
3
Income from continuing operations was $862 million and diluted earnings per
share from continuing operations was $4.44, including a $1.29 net benefit of
tariff refunds.
The Company repurchased 11.1 million shares for $1.2 billion, excluding
applicable excise tax.
Fiscal 2026 Outlook
• Net sales from continuing operations of $20.5 billion to $20.7 billion, based
on comparable store net sales growth of 3% to 4%
• Approximately 400 new store openings and 75 closings
• Adjusted diluted EPS of $7.70 to $8.05 including an approximate $0.60 benefit
related to the net impact of tariff refunds
Third Quarter 2026 Outlook
• Net sales from continui ng operations of $5.0 to $5.1 billion, based on
comparable store net sales growth in the range of 3.0% to 4.0%.
• Third quarter diluted EPS is currently expected to be in the range of $0.80 to
$0.95 including an approximate $0.50 impact related to tariff refund
reinvestments
Conference Call Information
On August 27, 2026, 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 13762117. A webcast of the call
is also accessible through the Investor Relations portion of the Company’s
website.
Supplemental financial information for the second quarter is available on the
Investor Relations portion of the Company’s website, at
https://corporate.dollartree.com/investors.
Dollar Tree, Inc., headquartered in Chesapeake, VA, is one of North America’s
largest and most loved value retailers, known for delivering great value,
convenience, and a “thrill-of-the-hunt” discovery shopping experience. With a
team of more than 150,000 associates, Dollar Tree operates more than 9,400
stores and 19 distribution centers across 48 contiguous states and seven
Canadian provinces under the brands Dollar Tree and Dollar Tree Canada. The
Company is committed to being a responsible steward of its business – supporting
its people, serving its communities, and creating lasting value. To learn more
about the Company, visit www.DollarTree.com.
4
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 corporate selling, general and
administrative expenses, exclusive and inclusive of transition services
agreement income, net; adjusted corporate selling, general and administrative
expenses, exclusive and inclusive of transition services agreement income, net
as a percentage of total revenue; adjusted selling, general and administrative
expenses, exclusive and inclusive of transition services agreement income, net;
adjusted selling, general and administrative expenses, exclusive and inclusive
of transition services agreement income, net as a percentage of total revenue;
adjusted selling, general and administrative expenses, exclusive of corporate
selling, general and administrative expenses; adjusted selling, general and
administrative expenses, exclusive of corporate selling, general and
administrative expenses as a percentage of total revenue; adjusted operating
income; adjusted operating income margin; adjusted income from continuing
operations; adjusted income from continuing operations as a percentage of total
revenue; adjusted diluted earnings per share - continuing operations; and
adjusted effective tax rate, in each case with respect to our continuing
operations; 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 2026,
including without limitation our expectations regarding net sales, comparable
store sales and adjusted diluted earnings per share for the third fiscal quarter
and full fiscal year 2026, new store openings and closings for 2026 and various
factors that are expected to impact our quarterly and annual results of
operations for fiscal 2026; the direct and indirect impacts of current and
potential tariffs and other trade-related measures and our plans to mitigate
those impacts; tariff refunds and our reinvestment plans; our plans and
expectations regarding our business, including the impact of various
initiatives, investments, and strategies on the company’s performance and
prospects for long-term growth; and our other plans, objectives, expectations
(financial and otherwise) and intentions. 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 16, 2026, 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. Except as otherwise required by law, 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.
Daniel Delrosario
Senior Vice President, Investor Relations and Treasurer
Investorinfo@dollartree.com
5
DOL…
TRE…
INC.
Con…
Con…
Inc…
Sta…
(In
mil…
exc… 13 26
per Weeks Weeks
sha… Ended Ended
dat… Augu… Augu… Augu… Augu…
(Un… 1, 2, 1, 2,
Rev… 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Net $ 4,8… $ 4,5… $ 9,8… $ 9,2…
sal…
Oth… 4.7 3.6 10.0 6.8
rev…
Tot… 4,8… 4,5… 9,8… 9,2…
rev…
Exp…
and
oth…
ope…
ite…
Cost
of 2,7… 2,9… 5,9… 5,9…
sal…
Sel…
gen…
and 1,4… 1,3… 2,8… 2,6…
adm…
exp…
Tra…
ser…
agr… 17.7 8.0 38.8 8.0
inc…
net
Ope… 690… 231… 1,1… 615…
inc…
Int…
exp… 17.8 22.8 34.1 45.5
net
Oth…
inc… -14… -0.4 -19… -62…
net
Inc…
from
con…
ope… 686… 208… 1,1… 631…
bef…
inc…
tax…
Pro…
for 171… 53.1 287… 162…
inc…
tax…
Inc…
from 514… 155… 861… 469…
con…
ope…
Inc…
from
dis…
ope… — 32.9 — 62.8
net
of
tax
Net $ 514… $ 188… $ 861… $ 531…
inc…
Net
ear…
per
sha…
Bas…
from $ 2.70 $ 0.75 $ 4.45 $ 2.23
con…
ope…
Bas…
from — 0.16 — 0.30
dis…
ope…
Bas…
per
sha… $ 2.70 $ 0.91 $ 4.45 $ 2.53
of
com…
sto…
Bas…
wei…
ave… 190… 207… 193… 210…
num…
of
sha…
Dil…
from $ 2.70 $ 0.75 $ 4.44 $ 2.22
con…
ope…
Dil…
from — 0.16 — 0.30
dis…
ope…
Dil…
per
sha… $ 2.70 $ 0.91 $ 4.44 $ 2.52
of
com…
sto…
Dil…
wei…
ave… 190… 207… 194… 210…
num…
of
sha…
Sel…
gen…
and 29.2 % 29.6 % 28.5 % 28.4 %
adm…
exp…
rate
Tra…
ser…
agr…
inc…
net 0.4 % 0.2 % 0.4 % 0.1 %
as a
per…
of
tot…
rev…
Ope…
inc… 14.1 % 5.1 % 11.8 % 6.7 %
mar…
Inc…
from
con…
ope…
bef…
inc… 14.0 % 4.6 % 11.6 % 6.9 %
tax…
as a
per…
of
tot…
rev…
Eff…
tax 25.0 % 25.5 % 25.0 % 25.8 %
rate
Inc…
from
con…
ope…
as a 10.5 % 3.4 % 8.7 % 5.1 %
per…
of
tot…
rev…
The
sel…
gen…
and
adm…
exp…
rate
and
ope…
inc…
mar…
are
cal…
by
div…
the
app…
amo…
by
tot…
rev…
Amo…
in
tab…
abo…
may
not
rec…
due
to
rou…
6
DOLLAR
TREE,
INC.
Conden…
Consol…
Balance
Sheets
(In
millio…
(Unaud…
ASSETS
Current August January August
Assets: 1, 2026 31, 2026 2, 2025
──────────────────────────────────────────────────────────────────────────────
Cash
and $ 1,058.1 $ 717.8 $ 666.3
cash
equiva…
Mercha… 2,452.2 2,495.4 2,683.4
invent…
Other
current 234.3 233.0 264.2
assets
Total
current 3,744.6 3,446.2 3,613.9
assets
Restri… 43.7 42.9 77.5
cash
Proper…
plant
and 5,100.9 4,959.6 4,652.4
equipm…
net
Operat…
lease 4,559.1 4,435.1 4,393.2
right-…
assets
Goodwi… 422.1 423.2 422.4
Deferr…
income 1.7 1.0 85.5
taxes,
net
Other 157.5 158.2 140.0
assets
Total $ 14,029… $ 13,466… $ 13,384…
assets
LIABIL…
AND
SHAREH…
EQUITY
Current
liabil…
Short-… $ — $ — $ 299.5
borrow…
Current
portion
of 1,011.0 1,000.2 976.7
operat…
lease
liabil…
Accoun… 1,626.5 1,530.7 1,593.8
payable
Other
current 665.6 697.7 616.9
liabil…
Total
current 3,303.1 3,228.6 3,486.9
liabil…
Long-t…
debt, 2,933.5 2,431.7 2,429.7
net
Operat…
lease 3,726.3 3,623.7 3,636.8
liabil…
long-t…
Deferr…
income 347.9 153.3 —
taxes,
net
Income
taxes 23.4 29.7 27.6
payabl…
long-t…
Other 270.1 244.3 198.8
liabil…
Total 10,604… 9,711.3 9,779.8
liabil…
Shareh… 3,425.3 3,754.9 3,605.1
equity
Total
liabil…
and $ 14,029… $ 13,466… $ 13,384…
shareh…
equity
The
January
31,
2026
inform…
was
derived
from
the
audited
consol…
financ…
statem…
as of
that
date.
7
DOLLAR TREE, INC.
Condensed
Consolidated
Statements of Cash
Flows
(In millions)
(Unaudited)
Cash flows from
operating 26 Weeks Ended
activities: August 1, 2026 August 2, 2025
──────────────────────────────────────────────────────────────────────────────
Net income $ 861.8 $ 531.8
Income from
discontinued — 62.8
operations, net
of tax
Income from
continuing $ 861.8 $ 469.0
operations
Adjustments to
reconcile income
from
continuing
operations to net
cash
provided by
operating
activities:
Depreciation and 356.8 313.1
amortization
Provision for
deferred income 193.9 158.7
taxes
Stock-based 40.7 31.6
compensation expense
Impairments 0.4 0.1
Gain on insurance
proceeds related to — -41.0
fixed assets
Other non-cash
adjustments to
income 22.6 14.6
from continuing
operations
Changes in operating
assets and
liabilities:
Merchandise 40.2 -7.4
inventories
Income taxes 3.0 -18.0
receivable
Other current assets -4.4 -52.7
Other assets -17.0 -17.3
Accounts payable 97.2 -114.0
Income taxes payable — -121.0
Other current -38.6 41.1
liabilities
Other liabilities 19.4 15.5
Operating lease
right-of-use assets -10.5 -33.1
and
liabilities, net
Net cash provided by
operating
activities of 1,565.5 639.2
continuing
operations
Cash flows from
investing
activities:
Capital expenditures -498.8 -493.9
Proceeds from sale
of discontinued — 668.0
operations
Cash divested from
sale of discontinued — -246.0
operations
Proceeds from — 50.0
insurance recoveries
Proceeds from
(payments for) fixed -1.0 0.7
asset
disposition
Net cash used in
investing activities
of -499.8 -21.2
continuing
operations
Cash flows from
financing
activities:
Proceeds from 500.0 —
long-term debt
Principal payments — -1,000.0
for long-term debt
Debt-issuance costs — -3.8
Proceeds from
commercial paper — 3,692.9
notes
Repayments of
commercial paper — -3,393.7
notes
Proceeds from stock
issued pursuant to 3.8 4.9
stock-based
compensation plans
Cash paid for taxes
on exercises/vesting -18.7 -12.1
of stock-based
compensation
Payments for -1,208.9 -924.2
repurchase of stock
Net cash used in -723.8 -1,636.0
financing activities
Cash flows from
discontinued
operations:
Net cash provided by
operating
activities of — 343.3
discontinued
operations
Net cash used in
investing activities
of — -79.8
discontinued
operations
Net cash provided by
discontinued — 263.5
operations
Effect of exchange
rate changes on
cash, -0.8 0.6
cash equivalents and
restricted cash
Net change in cash,
cash equivalents and 341.1 -753.9
restricted cash
Cash, cash
equivalents and
restricted 760.7 1,511.2
cash at beginning of
period
Cash, cash
equivalents and
restricted $ 1,101.8 $ 757.3
cash at end of
period
8
DO…
TR…
IN…
St…
Ac…
and
Se…
Sa…
Da…
(U…
13 26
Wee… We…
End… En…
Aug… Au… Au… Au…
1, 2, 1, 2,
2026 20… 20… 20…
St…
Co…
Be… 9,3… 9,0… 9,2… 8,8…
New 75 106 188 254
st…
St…
co…
fr… — 36 — 41
Fa…
Do…
(a)
Cl… -21 -10 -34 -28
En… 9,4… 9,1… 9,4… 9,1…
Se…
Sq…
Fo… 84.0 81.2 84.0 81.2
(in
mi…
Gr…
Ra… 3.4 % 8.0 % 3.4 % 8.0 %
(S…
Fo…
52
We…
En…
Au… Au…
1, 2,
20… 20…
Sa…
per
Sq… $2… $2…
Fo…
(b)
Sto…
con…
from
a
Fam…
Dol…
sto…
to a
Dol…
Tree
sto…
(a) are
ref…
in
the
tab…
abo…
when
they
re-…
as a
Dol…
Tree
sto…
Sal…
per
squ…
foot
is
cal…
bas…
on
tot…
net
sal…
for
(b) the
rep…
per…
div…
by
the
ave…
sel…
squ…
foo…
dur…
the
per…
9
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 corporate selling,
general and administrative expenses,
exclusive and inclusive of
transition
services agreement income, net;
adjusted
corporate selling, general and
administrative expenses, exclusive
and
inclusive of transition services
agreement income, net as a
percentage of
total revenue; adjusted selling,
general
and administrative expenses,
exclusive
and inclusive of transition services
agreement income, net; adjusted
selling,
general and administrative expenses,
exclusive and inclusive of
transition
services agreement income, net as a
percentage of total revenue;
adjusted
selling, general and administrative
expenses, exclusive of corporate
selling, general and administrative
expenses; adjusted selling, general
and
administrative expenses, exclusive
of
corporate selling, general and
administrative expenses as a
percentage
of total revenue; adjusted operating
income; adjusted operating income
margin; adjusted income from
continuing
operations; adjusted income from
continuing operations as a
percentage of
total revenue; adjusted diluted
earnings
per share - continuing operations;
and
adjusted effective tax rate, in each
case with respect to our continuing
operations. The Company believes
providing additional information in
these non-GAAP measures that exclude
the
unusual expenses and income
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.
During the first quarter of fiscal
2025, the Company entered into a
definitive agreement to sell the
Family Dollar business, and
completed the sale on July 5, 2025.
We incurred consulting, legal and
other expenses related to the sale
1.) and separation activities, including
costs associated with optimizing the
remaining Dollar Tree business
post-divestiture. Costs associated
with these activities incurred in
the second quarter and first half of
fiscal 2025 totaled $5.0 million and
$8.7 million, respectively.
During the first quarter of fiscal
2024, a tornado destroyed our Dollar
Tree distribution center in
Marietta, Oklahoma ("DC 8"). As a
result of the destruction, we have
incurred losses totaling $129.0
million, consisting of $70.0 million
related to damaged inventory and
$59.0 million related to property
and equipment. These losses are
fully insured and therefore not
contemplated in the non-GAAP
adjustments below. Since the end of
the first quarter of fiscal 2024, we
2.) have received insurance proceeds
totaling $125.0 million related to
damaged inventory, and $100.0
million related to damaged property,
including $70.0 million in the first
quarter of fiscal 2025 and $5.2
million in the first quarter of
fiscal 2026. In the fourth quarter
of fiscal 2024, we recorded a gain
of $29.7 million for insurance
proceeds received. We recorded
additional gains in the first
quarters of fiscal 2025 and fiscal
2026 totaling $61.8 million and $5.2
million, respectively, for insurance
proceeds received.
10
DOLLAR TREE, INC.
Reconciliation of Non-GAAP Financial Measures
(In millions, except per share data)
(Unaudited)
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 and sale 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.
11
DOL…
TRE…
INC.
Rec…
of
Non…
Fin…
Mea…
-
Con…
Ope…
(In
mil…
exc…
per
sha…
dat…
(Un…
Rec…
of
Adj…
Cor…
Sel…
Gen…
and
Adm…
Exp…
Exc…
of 13 26
Tra… Weeks Weeks
Ser… Ended Ended
Agr… Augu… Augu… Augu… Augu…
Inc… 1, 2, 1, 2,
Net 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Cor…
sel…
gen…
and $ 130… $ 147… $ 272… $ 289…
adm…
exp…
(GA…
Ded…
Str… — -4.3 — -4.4
rev…
cos…
Adj…
cor…
sel…
gen…
and
adm…
exp…
exc… $ 130… $ 143… $ 272… $ 285…
of
tra…
ser…
agr…
inc…
net
(No…
Adj…
cor…
sel…
gen…
and
adm…
exp…
exc…
of
tra… 2.7 % 3.1 % 2.8 % 3.1 %
ser…
agr…
inc…
net
as a
per…
of
tot…
rev…
(No…
Rec…
of
Adj…
Cor…
Sel…
Gen…
and
Adm…
Exp…
Inc…
of
Tra…
Ser…
Agr…
Inc…
Net
Cor…
sel…
gen…
and $ 130… $ 147… $ 272… $ 289…
adm…
exp…
(GA…
Ded…
Str… — -4.3 — -4.4
rev…
cos…
Ded…
Tra…
ser… -17… -8.0 -38… -8.0
agr…
inc…
net
Adj…
cor…
sel…
gen…
and
adm…
exp…
inc… $ 113… $ 135… $ 233… $ 277…
of
tra…
ser…
agr…
inc…
net
(No…
Adj…
cor…
sel…
gen…
and
adm…
exp…
inc…
of
tra… 2.3 % 3.0 % 2.4 % 3.0 %
ser…
agr…
inc…
net
as a
per…
of
tot…
rev…
(No…
Rec…
of
Adj…
Sel…
Gen…
and
Adm…
Exp…
Exc…
of
Tra…
Ser…
Agr…
Inc…
Net
Sel…
gen…
and $ 1,4… $ 1,3… $ 2,8… $ 2,6…
adm…
exp…
(GA…
Ded…
Str… — -5.0 — -8.7
rev…
cos…
Adj…
sel…
gen…
and
adm…
exp…
exc… $ 1,4… $ 1,3… $ 2,8… $ 2,6…
of
tra…
ser…
agr…
inc…
net
(No…
Adj…
sel…
gen…
and
adm…
exp…
exc…
of
tra…
ser… 29.2 % 29.4 % 28.5 % 28.3 %
agr…
inc…
net
as a
per…
of
tot…
rev…
(No…
12
DOL…
TRE…
INC.
Rec…
of
Non…
Fin…
Mea…
-
Con…
Ope…
(In
mil…
exc…
per
sha…
dat…
(Un…
Rec…
of
Adj…
Sel…
Gen…
and
Adm…
Exp…
Inc…
of 13 26
Tra… Weeks Weeks
Ser… Ended Ended
Agr… Augu… Augu… Augu… Augu…
Inc… 1, 2, 1, 2,
Net 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Sel…
gen…
and $ 1,4… $ 1,3… $ 2,8… $ 2,6…
adm…
exp…
(GA…
Ded…
Str… — -5.0 — -8.7
rev…
cos…
Ded…
Tra…
ser… -17… -8.0 -38… -8.0
agr…
inc…
net
Adj…
sel…
gen…
and
adm…
exp…
inc… $ 1,4… $ 1,3… $ 2,7… $ 2,6…
of
tra…
ser…
agr…
inc…
net
(No…
Adj…
sel…
gen…
and
adm…
exp…
inc…
of
tra…
ser… 28.8 % 29.3 % 28.1 % 28.3 %
agr…
inc…
net
as a
per…
of
tot…
rev…
(No…
Rec…
of
Adj…
Sel…
Gen…
and
Adm…
Exp…
Exc…
of
Cor…
Sel…
Gen…
and
Adm…
Exp…
Sel…
gen…
and $ 1,4… $ 1,3… $ 2,8… $ 2,6…
adm…
exp…
(GA…
Ded…
Str… — -0.7 — -4.3
rev…
cos…
Ded…
Cor…
sel…
gen… -13… -14… -27… -28…
and
adm…
exp…
Adj…
sel…
gen…
and
adm…
exp…
exc…
of $ 1,2… $ 1,2… $ 2,5… $ 2,3…
cor…
sel…
gen…
and
adm…
exp…
(No…
Adj…
sel…
gen…
and
adm…
exp…
exc…
of
cor…
sel… 26.5 % 26.3 % 25.7 % 25.3 %
gen…
and
adm…
exp…
as a
per…
of
tot…
rev…
(No…
Rec…
of
Adj…
Ope…
Inc…
Ope…
inc… $ 690… $ 231… $ 1,1… $ 615…
(GA…
Add:
Str… — 5.0 — 8.7
rev…
cos…
Adj…
ope… $ 690… $ 236… $ 1,1… $ 623…
inc…
(No…
Adj…
ope…
inc… 14.1 % 5.2 % 11.8 % 6.8 %
mar…
(No…
13
DOL…
TRE…
INC.
Rec…
of
Non…
Fin…
Mea…
-
Con…
Ope…
(In
mil…
exc…
per
sha…
dat…
(Un…
Rec…
of 13 26
Adj… Weeks Weeks
Inc… Ended Ended
from Augu… Augu… Augu… Augu…
Con… 1, 2, 1, 2,
Ope… 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Inc…
from
Con… $ 514… $ 155… $ 861… $ 469…
Ope…
(GA…
SG&A
adj…
Add:
Str… — 5.0 — 8.7
rev…
cos…
Non…
adj…
Ded…
Non… — — -5.2 -61…
ins…
gain
Pro…
for
inc… — -1.3 1.3 13.0
tax
adj…
Adj…
inc…
from $ 514… $ 159… $ 857… $ 428…
con…
ope…
(No…
Adj…
inc…
from
con…
ope…
as a 10.5 % 3.5 % 8.7 % 4.7 %
per…
of
tot…
rev…
(No…
Rec…
of
Adj…
Dil…
Ear…
Per
Sha…
-
Con…
Ope…
Dil…
ear…
per
sha… $ 2.70 $ 0.75 $ 4.44 $ 2.22
-
con…
ope…
(GA…
SG&A
adj…
Add:
Str… — 0.02 — 0.04
rev…
cos…
Non…
adj…
Ded…
Non… — — -0.… -0.…
ins…
gain
Pro…
for
inc… — -0.… 0.01 0.06
tax
adj…
Adj…
dil…
ear…
per
sha… $ 2.70 $ 0.77 $ 4.42 $ 2.03
-
con…
ope…
(No…
Rec…
of
Adj…
Eff…
Tax
Rate
Eff…
tax 25.0 % 25.5 % 25.0 % 25.8 %
rate
(GA…
Add…
Tax
imp… — % — % — % 0.1 %
of
non…
adj…
Adj…
eff…
tax 25.0 % 25.5 % 25.0 % 25.9 %
rate
(No…
1Re…
to
the
tax
eff…
of
non…
adj…
whi…
were
det…
bas…
on
the
nat…
of
the
und…
non…
adj…
and
the…
rel…
tax
rat…
Amo…
in
tab…
abo…
may
not
rec…
due
to
rou…
14
DOL…
TRE…
INC.
Rec…
of
Non…
Fin…
Mea…
(In
mil…
exc…
per
sha…
dat…
(Un…
Rec…
of
Net
Cash
Pro…
by
Ope…
Act…
of
Con…
Ope…
to
Free 13 26
Cash Weeks Weeks
Flow Ended Ended
from Augu… Augu… Augu… Aug…
Con… 1, 2, 1, 2,
Ope… 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Net
cash
pro…
by
ope… $ 921.5 $ 260.7 $ 1,56… $ 639.2
act…
of
con…
ope…
(GA…
Ded…
Cap…
exp…
of -246… -245… -498… -493…
con…
ope…
Free
cash
flow
from $ 675.2 $ 15.6 $ 1,06… $ 145.3
con…
ope…
(No…
Net
cash
pro…
by
(us…
in)
inv… $ -246… $ 177.7 $ -499… $ -21.2
act…
of
con…
ope…
(GA…
(c)
Net
cash
used
in $ -622… $ -1,1… $ -723… $ -1,6…
fin…
act…
(GA…
Net
cash
prov…
by
(used
in)
inve…
acti…
incl…
capi…
(c) expe…
which
is
incl…
in
our
comp…
of
free
cash
flow.
15