Dollar Tree (NYSE: DLTR) reported second-quarter financial results before the opening bell on Thursday. The discount store reported a 9.4% increase in Q2 revenues to $6.28 billion, beating Wall Street consensus. Net earnings of $1.10 per share also handsomely surpassed what analysts had anticipated.
DLTR shares fell 6% immediately following the announcement. The stock has increased by 11% so far this year.
CEO Mike Witynski said, “At Dollar Tree, we were pleased to see a nice bounce back in the higher margin discretionary side of the business following Easter; and the expanded Crafter’s Square assortment continues to perform very well. At Family Dollar, we continue to gain traction as we had a material improvement in the discretionary side of the business, another quarter of double-digit same-store sales, a 390 basis point improvement in gross margin and a 470 basis point increase in operating profit margin.”
