DLTR
Supplemental Financial Presentation 3rd Quarter 2024
KEY TAKEAWAYS
Third Quarter 2024
3
Comparable Store Sales Composition
Traffic, Average Ticket, Consumables, and Discretionary1
FISCAL 2023
FISCAL 2024
Q1
Q2
Q3
Q4
YTD
Q1
Q2
Q3
Q4
YTD
TOTAL
3.4%
7.8%
5.4%
6.3%
5.8%
1.7%
1.3%
1.8%
-
1.6%
Customer Traffic
5.5%
9.6%
7.0%
7.1%
7.4%
2.8%
1.4%
1.5%
-
1.9%
Average Ticket
(2.1%)
(1.6%)
(1.5%)
(0.7%)
(1.5%)
(1.1%)
(0.1%)
0.3%
-
(0.3%)
Consumables
6.9%
13.2%
11.1%
10.8%
10.5%
7.4%
4.7%
6.2%
-
6.4%
Discretionary
1.2%
3.9%
1.1%
3.1%
2.3%
(3.3%)
(1.9%)
(1.8%)
-
(2.5%)
FISCAL 2023
FISCAL 2024
Q1
Q2
Q3
Q4
YTD
Q1
Q2
Q3
Q4
YTD
TOTAL
6.6%
5.8%
2.0%
(1.2%)
3.2%
0.1%
(0.1%)
1.9%
-
0.6%
Customer Traffic
4.3%
3.4%
1.4%
0.7%
2.5%
0.9%
0.7%
1.8%
-
1.2%
Average Ticket
2.2%
2.3%
0.7%
(2.0%)
0.7%
(0.8%)
(0.8%)
0.0%
-
(0.5%)
Consumables
9.8%
9.5%
6.2%
2.2%
6.7%
1.4%
0.3%
1.3%
-
1.0%
Discretionary
(4.4%)
(5.7%)
(12.5%)
(12.0%)
(8.8%)
(4.7%)
(1.7%)
3.7%
-
(1.1%)
1Compared to same period in prior fiscal year
4
Dollar Tree
Consumables vs. Discretionary Mix Shift Over Time
Quarterly Results
Annual Results
YOY Consumables Mix Shift
+180
+170
+220
+210
+220
+210
+150
-90
-280
-20
+190
+190
bps
bps
bps
bps
bps
bps
bps
bps
bps
bps
bps
bps
48.0%
48.5%
48.4%
44.6%
50.2%
50.6%
49.9%
49.2%
48.3%
45.5%
45.3%
47.2%
50.2%
52.0%
51.5%
51.6%
55.4%
49.8%
49.4%
50.1%
50.8%
51.7%
54.5%
54.7%
52.8%
49.8%
1Q
2Q
3Q
4Q
1Q
2Q
3Q
0.0%
2019
2020
2021
2022
2023
2024
4Q
FY 2023
FY 2024
Fiscal Year
YTD
Consumables
Discretionary (Seasonal & Variety)
5
Family Dollar
Consumables vs. Discretionary Mix Shift Over Time
Quarterly Results
Annual Results
YOY Consumables Mix Shift
+200
+230
+290
+290
+70
+60
-10
-100
-20
+140
+260
+40
bps
bps
bps
bps
bps
bps
bps
bps
bps
bps
bps
bps
80.1%
79.6%
82.0%
79.5%
80.8%
80.2%
81.9%
77.5%
76.5%
76.3%
77.7%
80.3%
80.9%
19.9%
20.4%
18.0%
20.5%
19.2%
19.8%
18.1%
22.5%
23.5%
23.7%
22.3%
19.7%
19.1%
1Q
2Q
3Q
4Q
1Q
2Q
3Q
0.0%
2019
2020
2021
2022
2023
2024
4Q
FY 2023
FY 2024
Fiscal Year
YTD
Consumables
Discretionary (Home, Apparel, Accessories, Seasonal, Electronics)
6
Dollar Tree Consumables Market Share
% Change vs. Last Year
12.1%
9.4%
Market
DT
8.7%
9.2%
7.9%
7.5%
7.2%
4.8%
3.5%
2.7%
$ Sales
2.2%
1.1%
1.3%
2.2%
Volume
8.4%
6.4%
8.0%
4.7%
3.6%
3.7%
Unit
0.7% 0.8% 0.9%
Volume
-2.5%
-1.5%
-0.5%
-2.8%
-3.0%
Q1
Q2
Q3
Q4
FY 2023
Q1
Q2
Q3
Q4
FY 2024
Source: Nielsen Market Data in competing markets that include participating retailers across food, drug, mass, club, and dollar channels
7
Family Dollar Consumables Market Share
% Change vs. Last Year
Market FD
10.7%
11.4%
$ Sales
8.9%
7.5%
3.9%
3.8%
Volume
4.8%
2.5%
1.2%
2.0%
2.1% 2.0%
2.7% 2.4%
2.7%
0.8%
1.5%
1.2%
1.3%
0.9% 0.9%
1.1% 1.1%
0.5%
Unit
Volume
-0.8%
-2.1%
-1.8%
-2.6%
Q1
Q2
Q3
Q4
FY 2023
Q1
Q2
Q3
Q4
FY 2024
Source: Nielsen Market Data in competing markets that include participating retailers across food, drug, mass, club, and dollar channels
8
Sales per Square Foot
by Business Segment
$234 $235 $235 $233
$200 $201 $203
$220
$234
$227
$225
$220
$221
$225
$227 $223
FY 19
FY 20
FY 21
FY 22
FY 23
Dollar Tree
$216
$212
$210
$209
$210
$211
$220 $218 $218
$216
$214
$214 $212 $214 $220
$191
1Q22 2Q22 3Q22 4Q22
1Q23
2Q23 3Q23 4Q23
1Q24 2Q24 3Q24
FY 19
FY 20
FY 21
FY 22
FY 23
Dollar Tree
Family Dollar
Family Dollar
Note: Sales per square foot is calculated based on LTM net sales for the reporting period divided by the average selling square footage for the LTM period. As such, Family Dollar sales per square foot includes LTM net sales for the stores closed as part of the portfolio optimization, but those stores are not included in the period-ending selling square footage for 1Q 2024, 2Q 2024, and 3Q 2024 used to calculate average selling square footage for the LTM period.
9
Operating Margin (GAAP)
Year-Over-Year Basis Point Change
FY 2024
Q3 Trend Drivers
Q1
Q2
Q3
Prior Year - GAAP
13.6%
10.3%
12.1%
↑
Lower freight costs
Cost of sales
10
80
60
↓
Increased markdowns
↓
Higher distribution costs
↓ Increased sales of higher cost consumables merchandise
↓ Increased occupancy costs due to loss of leverage from low single-digit comp
↓ Higher depreciation from store investments
Selling, general and administrative
(120)
(270)
(180)
↓ Temporary labor to support multi-price rollout
↓
Higher utilities costs
↓ Loss of leverage due to low single-digit comp
Current Year - GAAP
12.5%
8.4%
10.7%
Variance vs. Last Year
-110 bps
-190 bps
-140 bps
Note: Figures may not foot due to rounding
10
Disclaimer
Dollar Tree Inc. published this content on December 04, 2024, and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on December 04, 2024 at 11:31:02.643.