Overview

• Dollar Tree’s first-quarter net income rose from $300.1 million to $343.4 million as same-store sales climbed 5.4% year-over-year.
• Foot traffic grew 2.5% and average transaction size jumped nearly 3% driven by stronger demand from households earning over $100,000.
• The company now expects second-quarter earnings per share to decline by 45% to 50% due to higher tariffs and other cost pressures.
• Trump administration levies on Chinese imports generated roughly $70 million in additional costs during the 145% tariff window.
• Management is deploying five cost-mitigation levers—including multi-price tiers, supplier negotiations, country-of-origin shifts, product respecifications and dropping low-value items—and peers like Dollar General are cutting China exposure to limit future tariff impact.