Dollar Tree, Inc. (NASDAQ: DLTR) on Thursday announced first-quarter 2022 financial results, reporting a sharp increase in net profit amid a 6.5% sales growth. The numbers also beat analysts’ estimates.
The discount store chain reported net sales of $6.9 billion, up 6.5% year-over-year and above Wall Street’s projection. Total same-store sales rose 4.4%, with an 11.2% growth in the Dollar Tree segment more than offsetting a 2.8% decrease in Family Dollar comps.
First-quarter net income increased to $536.4 million or $2.37 per share from $374.5 million or $1.60 per share in the prior-year period.
“During the quarter, the Dollar Tree team successfully completed its conversion to the $1.25 price point, contributing to both sales and margin improvements. Shoppers are responding favorably as the new, greater value products hit our shelves,” said Michael Witynski, chief executive officer of Dollar Tree.
Check this space to read management/analysts’ comments on Dollar Tree’s Q1 report
Shares of Dollar Tree made strong gains early Thursday soon after the announcement, after closing the previous session higher.