Dollar Tree’s (NASDAQ: DLTR) first quarter 2020 earnings and sales figures beat the market’s estimates sending the shares up by about 6% in the pre-market trading session. The company reported adjusted earnings of $1.04 per share on revenue of $6.29 billion for the quarter ended May 2, 2020. Analysts had projected Dollar Tree to earn $0.91 per share on revenue of $6.11 billion.
The strong same-store sales growth of 15.5% in Family Dollar resulted in an 8% sales growth for the discount retailer in the recently ended quarter. While enterprise same-store sales increased 7%, Dollar Tree same-store sales decreased 0.9% compared to the year-ago quarter.
On March 31, Dollar Tree withdrew its first quarter 2020 and fiscal 2020 outlook due to uncertainty in the wake of COVID-19 pandemic. The company also suspended its share buyback temporarily.
Dollar Tree’s peer Dollar General (NYSE: DG) also reported its first quarter earnings today, while Costco (NASDAQ: COST) is set to report its quarterly earnings after the market closes today.