Dollar Tree Sees Double-Digit Sales Growth in Q1
Gains in store traffic, coupled with an increase in the average ticket, were key drivers of Dollar Tree’s double-digit sales growth in its fiscal first quarter.
For the quarter ended May 3, net sales increased 11.3% to $4.6 billion. Quarterly same-store sales rose 5.4%. Net income was $343.4 million, or $1.61 per diluted share, up from net income of $300.1 million, or $1.38 per diluted share, in the comparable quarter the previous year.
During the quarter, the company opened 148 new Dollar Tree stores and converted approximately 500 stores to its 3.0 multi-price format.
“Our strong first-quarter performance underscores the progress we’ve made against our strategic priorities and is a clear signal that our customers are responding positively to the changes we are making,” said Mike Creedon, CEO of Dollar Tree. “History has shown that we have the resilience to emerge stronger from periods of economic uncertainty, and in today’s rapidly evolving environment, we see a meaningful opportunity to further elevate the value, convenience, and discovery that our customers depend on Dollar Tree to provide.”
A report from Placer.ai revealed gains in store traffic at Dollar Tree through the first four months of 2025, with a notable spike in April. Visits in the first quarter were up 4.8%, though visits per location declined 0.6%. January and April were the strongest months for the retailer. Visits in January rose 11.3%, while visits per location increased 5.3%. In April, visits jumped 21.2%, with visits per location up 16.1%.
Dollar Tree officials also reported that the sale of Family Dollar to Brigade Capital Management and Macellum Capital for just over $1 billion is expected to close in the second quarter. Net proceeds from the sale are expected to total approximately $800 million.
Looking ahead to the second quarter, the retailer is forecasting comparable-store sales growth of between 3% and 5%. It also expects to mitigate the earnings impact of several cost pressures, including higher tariffs.
As of May 3, Dollar Tree operated 16,607 stores across 48 states and five Canadian provinces.
