Dollar Tree, Inc. (NASDAQ:DLTR) shares slid about 8% in early Wednesday trading as the discount retailer warned that tariff-related costs would impact earnings in its current quarter even as its second quarter 2025 financial results topped analyst expectations.
Dollar Tree reported Q2 revenue of $4.57 billion that surpassed the $4.45 billion Zacks consensus forecast.
The company’s earnings per share (EPS) for the period, meanwhile, improved to $0.77 from $0.67 a year ago, exceeding the $0.38 estimate.
“The strong sales growth, margin outperformance, and market share gains that Dollar Tree delivered in the second quarter against an increasingly challenging economic backdrop reinforces the unique position that Dollar Tree occupies in today’s retail landscape,” Dollar Tree CEO Mike Creedon said in a statement.
“With the Family Dollar sale complete, Dollar Tree is now a fully focused business and every ounce of our leadership attention, capital investment, and operating resources is now directed toward strengthening the Dollar Tree brand.”
For Q3, Dollar Tree said it expects adjusted EPS for the period to be similar to the second quarter of 2024.
For the full year 2025, the company expects adjusted EPS of $5.32 to $5.72 on revenue of $19.3 billion to $19.5 billion. The analyst consensus is for adjusted EPS of $5.47 per share and $19.15 billion in revenue.