A national discount chain is seeing a major shift in the type of shoppers walking through its doors — and the company’s latest earnings report appears to back it up.
Dollar Tree Inc., which operates more than 16,000 Dollar Tree and Family Dollar stores nationwide, reported quarterly same-store sales growth of 6.5% and adjusted earnings per share of $0.77 in its most recent earnings release.
But according to CEO Mike Creedon, the biggest trend isn’t just sales strength — it’s who is driving it.
Households earning above $100,000 annually contributed meaningfully to growth in the most recent quarter, Creedon said during the post‑earnings call.
Creedon said the company’s core lower-income customer base is “still with us,” though the company continues to see a “meaningful uptick” in middle-and higher-income households.
Over the last two years, the company has worked to expand its multi-price strategy, which includes products above the traditional $1 price point.
Company executives say it has allowed the chain to broaden its inventory and compete directly with big-box and grocery chains — a move that appears to be resonating with customers across income groups.
Dollar Tree reaffirmed its full-year outlook and told investors it expects earnings growth to accelerate in 2026 and beyond.
However, the company also warned that tariffs, supply-chain disruptions and labor costs could pressure margins in the coming year.
Retail analysts say the trends noted in Dollar Tree’s report are playing out across the entire discount sector.
Chains such as Dollar General, Five Below and Ollie’s have also reported increased visits from shoppers with higher-income as consumers continue prioritizing bargains.
For Dollar Tree, analysts say the shift presents both an opportunity and a challenge: attracting a broader customer base while keeping prices low enough for its traditional shoppers.
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