Overview
- Quarterly results topped estimates with adjusted EPS of $1.21, revenue about $4.75 billion and same‑store sales up 4.2% year over year.
- Full‑year adjusted EPS guidance rose to $5.60–$5.80, and sales guidance was narrowed to $19.35–$19.45 billion as shares gained about 3% and several analysts raised price targets.
- Roughly 3 million additional households shopped in Q3, with a majority from incomes above $100,000, and average ticket increased about 4.5%.
- Dollar Tree repurchased 4.1 million shares for $399 million in the quarter and another 1.7 million shares for $176 million after quarter‑end, leaving about $2.0 billion under its $2.5 billion authorization.
- Operations advanced with 106 new openings and about 646 conversions to the 3.0 multi‑price format, even as operating expenses rose 140 bps to 29.2%, operating margin improved to 7.2% and free cash flow was negative $57.1 million.