Dollar Tree (DLTR)
NASDAQ:DLTR
Want to see DLTR full AI Analyst Report?
Earnings Data
Report Date
Aug 20, 2026Before Open (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
1.09Last Year’s EPS
0.77Same Quarter Last Year
Based on 20 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed solid underlying momentum with strong top-line growth, significant margin expansion (gross margin +120 bps, operating margin +110 bps) and a 38% increase in adjusted EPS, supported by inventory improvement, shrink reduction and strong cash generation/repurchases. Management acknowledged persistent headwinds—traffic down 1%, higher fuel and tariff uncertainty, modest SG&A deleverage due to marketing and liability costs, and ongoing variability in store execution—but emphasized operational levers (multi-price assortment, gold store standards, targeted marketing) and a prudent, conservative outlook. On balance the positive operational and financial developments materially outweigh the challenges, though execution and macro volatility remain watch points.Company Guidance
Top-line Growth
Net sales increased 7.2% year-over-year to $5.0 billion in Q1 FY2026, driven by 3.5% comparable store sales and a 3.7% contribution from new stores.
Strong Profitability and EPS Beat
Adjusted diluted EPS rose 38% year-over-year to $1.74, above the high end of the prior outlook; adjusted operating margin expanded 110 basis points to 9.5%.
Gross Margin Expansion
Gross margin expanded 120 basis points year-over-year, driven primarily by higher merchandise margin, freight favorability and lower shrink (partially offset by higher tariffs and markdowns).
Ticket and Category Strength
Average ticket grew 4.5% in the quarter, with comp gains across categories (discretionary +3.9% with notable strength in toys and personal care; consumables +3.2%), aided by multi-price assortment expansion.
Shrink Improvement and Operational Execution
Company reported measurable shrink improvement driven by operational initiatives (gold store standards, nonnegotiable audits, product protection and focused training), contributing to margin upside.
Inventory and Working Capital
Inventory declined 9% year-over-year while sales grew 7.2%, producing a favorable inventory-to-sales spread and supporting fresher assortments and working capital efficiency.
Cash Generation and Capital Allocation
Generated $644M in cash from operations, $392M free cash flow after $253M CapEx, ended Q1 with $1.0B cash and no commercial paper outstanding; repurchased ~5.5M shares for $595M in Q1 (additional $98M subsequent), reducing share count ~8% over 12 months and returning $1.7B to investors.
Upgraded Fiscal 2026 Outlook
Updated FY2026 guidance: net sales $20.5B–$20.7B, comparable store sales growth 3%–4%, adjusted diluted EPS $6.70–$7.10 (incorporates lower share count through date).
Progress on Store Standards and Assortment Strategy
Notable progress in fleet execution: percentage of below-standard stores reduced materially (from ~42% previously to under one-third), and multi-price assortment continues to drive relevance, ticket growth and incremental strength in everyday categories.
Marketing Capabilities Emerging
Company is scaling targeted, data-driven marketing (test-and-learn approach) to drive incremental trips and ROI; management views marketing as a growing enabler of frequency and customer engagement.
DLTR Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
DLTR Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
May 28, 2026 | $95.87 | $113.00 | +17.87% |
Mar 16, 2026 | $107.46 | $114.36 | +6.42% |
Dec 03, 2025 | $108.99 | $112.92 | +3.61% |
Sep 04, 2025 | $102.03 | $100.25 | -1.74% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Dollar Tree (DLTR) report earnings?
Dollar Tree (DLTR) is schdueled to report earning on Aug 20, 2026, Before Open (Confirmed).
What is Dollar Tree (DLTR) earnings time?
Dollar Tree (DLTR) earnings time is at Aug 20, 2026, Before Open (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is DLTR EPS forecast?
DLTR EPS forecast for the fiscal quarter 2026 (Q2) is 1.09.
