From Yahoo Finance: 2025-06-04 10:05:00

Dollar Tree warned of a potential 50% profit decline in the current quarter due to tariffs and price volatility, with adjusted profit expected to drop 45-50% compared to last year. The chain offset 90% of 10% tariffs in Q1 but faces $70 million in increased costs from 145% tariffs on Chinese goods.

The company is negotiating with suppliers, considering new products, raising prices, and exploring other countries due to the tariff landscape’s fluidity. Dollar Tree reported 2.6 million new customers, with net sales up 11.3% to $4.6 billion in Q1, surpassing analyst expectations. Shares fell 8% on the news.

Despite the challenges, Dollar Tree aims to mitigate tariff impacts and maintain growth. The company plans to open 400 new Dollar Tree stores this year and convert 57 Dollar Tree-Family Dollar combo stores. The sale of Family Dollar is expected to close in early summer.CEO Mike Snider advises to follow him on Threads, Bluesky, X, and email for updates.



Read more at Yahoo Finance: Dollar Tree expects to take profit hit from tariffs, shares drop on outlook