Quarterly report [Sections 13 or 15(d)]

Segments and Disaggregated Revenue

v3.26.1
Segments and Disaggregated Revenue
 6 Months Ended
Aug. 01, 2026
Segment Reporting [Abstract]  
Segments and Disaggregated Revenue Segments and Disaggregated Revenue
Dollar Tree is a leading operator of discount variety stores offering merchandise predominantly at the opening price point of $1.25, with additional offerings at higher price points. The Company operates 9,150 stores across 48 states and the District of Columbia and approximately 285 stores across seven Canadian provinces as of August 1, 2026. We also operate 17 distribution centers in the United States. Distribution services in Canada are provided by a third party from two facilities, one in British Columbia and one in Ontario. Our revenue and assets in Canada are not material.
The Company revised its composition of reportable segments in the first quarter of fiscal 2026 to disclose only one reportable segment. In fiscal 2025, the Company previously reported the Dollar Tree segment, which included the operations of all our stores and distribution centers under the Dollar Tree and Dollar Tree Canada brands, and corporate, support and other, which consisted of store support center costs and the results of operations for our Summit Pointe property in Chesapeake, Virginia. Corporate, support and other also included costs that were previously incurred in support of the Family Dollar segment but that were not directly attributable to it and thus were not recorded in discontinued operations. As a result of this change, we have recast prior year amounts to conform to the presentation of one reportable segment.
Our chief operating decision maker (“CODM”) is our chief executive officer of the Company. The CODM evaluates the financial performance of the Company using consolidated net income, operating income and gross profit. The CODM considers variances between actual results and internal budgets/forecasts when making decisions about allocating capital and resources. The CODM uses gross profit to evaluate our ability to control product and supply chain costs relative to changes in sales between comparable periods. The CODM uses operating income to evaluate the overall operating performance of the business. The measure of segment assets is reported on the Company’s unaudited Condensed Consolidated Balance Sheets as total consolidated assets.
Profit and loss information for our one reportable segment, is as follows:
13 Weeks Ended 26 Weeks Ended
(in millions) August 1, 2026 August 2, 2025 August 1, 2026 August 2, 2025
Net sales $ 4,886.5  $ 4,566.8  $ 9,857.0  $ 9,203.3 
Cost of sales 2,792.2  2,996.7  5,933.2  5,983.7 
Gross profit 2,094.3  1,570.1  3,923.8  3,219.6 
Other revenue 4.7  3.6  10.0  6.8 
Selling, general and administrative expenses 1,426.6  1,350.7  2,809.2  2,619.3 
Transition services agreement income, net 17.7  8.0  38.8  8.0 
Operating income 690.1  231.0  1,163.4  615.1 
Interest expense, net 17.8  22.8  34.1  45.5 
Other income, net (14.1) (0.4) (19.5) (62.1)
Provision for income taxes 171.9  53.1  287.0  162.7 
Income from continuing operations $ 514.5  $ 155.5  $ 861.8  $ 469.0 
Additional Information:
Depreciation and amortization expense $ 179.8  $ 162.0  $ 356.8  $ 313.1 
Capital expenditures $ 246.3  $ 245.1  $ 498.8  $ 493.9 
Corporate selling, general and administrative expenses were $130.8 million and $272.6 million for the 13 weeks and 26 weeks ended August 1, 2026, respectively. Corporate selling, general and administrative expenses were $147.6 million and $289.4 million for the 13 weeks and 26 weeks ended August 2, 2025, respectively.
Disaggregated Revenue
The following table summarizes net sales by merchandise category for our reportable segment:
13 Weeks Ended 26 Weeks Ended
(in millions) August 1, 2026 August 2, 2025 August 1, 2026 August 2, 2025
Consumable $ 2,521.7  51.6  % $ 2,311.0  50.6  % $ 5,016.4  50.9  % $ 4,647.6  50.5  %
Variety 2,347.7  48.0  % 2,236.0  49.0  % 4,655.2  47.2  % 4,355.4  47.3  %
Seasonal 17.1  0.4  % 19.8  0.4  % 185.4  1.9  % 200.3  2.2  %
Total net sales $ 4,886.5  100.0  % $ 4,566.8  100.0  % $ 9,857.0  100.0  % $ 9,203.3  100.0  %