On May 30, Dollar Tree Stores
- Sales increased by 13.8%, with same-store sales rising 5.8% and the company adding 8% more square footage.
- Margins increased ever so slightly, and the company bought back shares to leverage its sales growth into high-profit growth.
- Although it's a bit unfair to look at quarterly cash flow changes, cash flow from operations was less than last year. It looks like the company has some catching up to do.
- Management estimates sales for the second quarter to be $960 million to $985 million and diluted earnings per share of $0.29 to $0.32.
(Figures in millions, except per-share data.)
Income Statement Highlights
|
Q1 2007 |
Q1 2006 |
Change |
|
|---|---|---|---|
|
Sales |
$975 |
$856 |
13.9% |
|
Net Profit |
$38.1 |
$32.9 |
15.8% |
|
EPS |
$0.38 |
$0.31 |
22.6% |
|
Diluted Shares |
100.0 |
106.8 |
(6.4%) |
Get back to basics with the income statement.
Margin Checkup
|
Q1 2007 |
Q1 2006 |
Change* |
|
|---|---|---|---|
|
Gross Margin |
33.4% |
33.4% |
0.0 |
|
Operating Margin |
6.4% |
6.3% |
0.1 |
|
Net Margin |
3.9% |
3.8% |
0.1 |
Margins are the earnings engine.
Balance Sheet Highlights
|
Assets |
Q1 2007 |
Q1 2006 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$188.5 |
$287.4 |
(34.4%) |
|
Inventory |
$599.7 |
$633.8 |
(5.4%) |
|
Liabilities |
Q1 2007 |
Q1 2006 |
Change |
|---|---|---|---|
|
Accounts Payable |
$186.7 |
$187.3 |
(0.3%) |
|
Long-Term Debt |
$250 |
$250 |
0.0% |
The balance sheet reflects the company's health.
Cash Flow Highlights
|
Q1 2007 |
Q1 2006 |
Change |
|
|---|---|---|---|
|
Cash From Ops. |
$30.5 |
$77.5 |
(60.6%) |
|
Capital Expenditures |
$39.7 |
$42.5 |
(6.6%) |
|
Free Cash Flow |
($9.2) |
$35.0 |
N/A |
Free cash flow is a Fool's best friend.
Related Foolishness:
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Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean. This data has been provided by Netscribes. To provide feedback on this article, please click on the "feedback" button below.
