Dollar Tree reported earnings and sales that topped analysts’ estimates but offered full-year guidance that fell short.
The extreme-discount retailer entered its new fiscal year under the leadership of a new CEO: Executive Chairman Rick Dreiling expanded his role to take over as CEO, effective 29 January. In a presentation in conjunction with the earnings release, Dollar Tree’s fiscal 2023 outlook called for new store growth of 600 to 650 stores, with 43 per cent of the growth occurring in the first half of the year. (By comparison, Dollar Tree opened 464 new stores, relocated 120 stores and closed 205 locations in 2022. It also completed 796 Family Dollar store renovations.)
“Our sales performance shows that our third quarter sales momentum continued into the fourth quarter,” stated Dreiling. “We are committed to driving further store productivity as we focus on developing our people, tools and technology to fuel our accelerated growth, while simplifying our operations, improving our supply chain and innovating our merchandising strategy to better support our associates and to better serve our shoppers.”
