What changed in this filing

/stocks — the workspaceLOADING

Item 1. Financial Statements

2026-08-27 compared with 2026-05-28 · 135 added, 104 removed, 328 unchanged (42% of the section changed)

2 unchanged sentences

CONDENSED CONSOLIDATED INCOME STATEMENTS

13 Weeks Ended

(in millions, except per share data) May 2, 2026 May 3, 2025

13 Weeks Ended 26 Weeks Ended

(in millions, except per share data) August 1, 2026 August 2, 2025 August 1, 2026 August 2, 2025

Net sales $ 4,886.5 $ 4,566.8 $ 9,857.0 $ 9,203.3

21 unchanged sentences

Weighted average common shares outstanding:

190.6 207.3 193.7 210.4

190.9 207.8 194.1 210.8

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements.

1 unchanged sentence

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

13 Weeks Ended

(in millions) May 2, 2026 May 3, 2025

13 Weeks Ended 26 Weeks Ended

(in millions) August 1, 2026 August 2, 2025 August 1, 2026 August 2, 2025

Net income $ 514.5 $ 188.4 $ 861.8 $ 531.8

4 unchanged sentences

CONDENSED CONSOLIDATED BALANCE SHEETS

(in millions, except par value and share data) May 2, 2026 January 31, 2026 May 3, 2025

(in millions, except par value and share data) August 1, 2026 January 31, 2026 August 2, 2025

Current assets:

2 unchanged sentences

Other current assets 234.3 233.0 264.2

Current assets of discontinued operations — — 4,705.5

Total current assets 3,744.6 3,446.2 3,613.9

Restricted cash 43.7 42.9 77.5

Property, plant and equipment, net of accumulated depreciation

of $ 5,003.5 , $ 4,848.5 and $ 4,483.9 , respectively

Property, plant and equipment, net of accumulated depreciation of $ 5,179.2 , $ 4,848.5 and $ 4,682.9 , respectively

5,100.9 4,959.6 4,652.4

6 unchanged sentences

Current liabilities:

Current portion of long-term debt $ — $ — $ 1,000.0

Short-term borrowings $ — $ — $ 299.5

Current portion of operating lease liabilities 1,011.0 1,000.2 976.7

Accounts payable 1,626.5 1,530.7 1,593.8

Income taxes payable — — 239.9

Other current liabilities 665.6 697.7 616.9

Current liabilities of discontinued operations — — 3,903.7

Total current liabilities 3,303.1 3,228.6 3,486.9

Long-term debt, net, excluding current portion 2,932.6 2,431.7 2,428.8

Long-term debt, net 2,933.5 2,431.7 2,429.7

Operating lease liabilities, long-term 3,726.3 3,623.7 3,636.8

6 unchanged sentences

Common stock, par value $ 0.01 ;

600,000,000 shares authorized,

193,393,380 , 198,505,205 and 210,151,340 shares issued and

outstanding, respectively

600,000,000 shares authorized, 187,672,941 , 198,505,205 and 204,634,244 shares issued and outstanding, respectively

Additional paid-in capital — — —

6 unchanged sentences

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY

13 Weeks Ended May 2, 2026

13 Weeks Ended August 1, 2026

(in millions) Common

5 unchanged sentences

Earnings Shareholders'

Balance at May 2, 2026

193.2 $ 1.9 $ — $ ( 51.5 ) $ 3,556.6 $ 3,507.0

Net income — — — — 514.5 514.5

Total other comprehensive loss — — — ( 4.0 ) — ( 4.0 )

Issuance of stock under Employee Stock Purchase Plan — — 1.4 — — 1.4

Stock-based compensation, net — — 18.4 — — 18.4

Repurchase of stock ( 5.6 ) — ( 13.2 ) — ( 592.2 ) ( 605.4 )

Excise tax on repurchases of stock — — ( 6.6 ) — — ( 6.6 )

Balance at August 1, 2026

187.6 $ 1.9 $ — $ ( 55.5 ) $ 3,478.9 $ 3,425.3

26 Weeks Ended August 1, 2026

(in millions) Common

Shares Common

Stock Additional

Capital Accumulated

Comprehensive

Loss Retained

Earnings Shareholders'

Balance at January 31, 2026

2 unchanged sentences

Total other comprehensive loss — — — ( 4.8 ) — ( 4.8 )

Issuance of stock under Employee Stock

Purchase Plan — — 2.4 — — 2.4

Issuance of stock under Employee Stock Purchase Plan — — 3.8 — — 3.8

Stock-based compensation, net 0.3 — 22.0 — — 22.0

1 unchanged sentence

Excise tax on repurchases of stock — — ( 12.2 ) — — ( 12.2 )

Balance at August 1, 2026

187.6 $ 1.9 $ — $ ( 55.5 ) $ 3,478.9 $ 3,425.3

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements.

DOLLAR TREE, INC.

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY (cont.)

13 Weeks Ended August 2, 2025

(in millions) Common

Shares Common

Stock Additional

Capital Accumulated

Comprehensive

Loss Retained

Earnings Shareholders'

Balance at May 3, 2025

209.5 $ 2.1 $ — $ ( 53.6 ) $ 3,956.3 $ 3,904.8

13 Weeks Ended May 3, 2025

Net income — — — — 188.4 188.4

Total other comprehensive loss — — — ( 0.4 ) — ( 0.4 )

Issuance of stock under Employee Stock Purchase Plan 0.1 — 2.1 — — 2.1

Stock-based compensation, net 0.1 — 11.6 — — 11.6

Repurchase of stock ( 5.1 ) — ( 8.8 ) — ( 487.7 ) ( 496.5 )

Excise tax on repurchases of stock — — ( 4.9 ) — — ( 4.9 )

Balance at August 2, 2025

204.6 $ 2.1 $ — $ ( 54.0 ) $ 3,657.0 $ 3,605.1

26 Weeks Ended August 2, 2025

(in millions) Common

9 unchanged sentences

Total other comprehensive income — — — 5.2 — 5.2

Issuance of stock under Employee Stock

Purchase Plan — — 2.8 — — 2.8

Issuance of stock under Employee Stock Purchase Plan 0.1 — 4.9 — — 4.9

Stock-based compensation, net 0.4 — 24.0 — — 24.0

1 unchanged sentence

Excise tax on repurchases of stock — — ( 9.0 ) — — ( 9.0 )

— — ( 4.1 ) — — ( 4.1 )

Balance at May 3, 2025

Balance at August 2, 2025

204.6 $ 2.1 $ — $ ( 54.0 ) $ 3,657.0 $ 3,605.1

3 unchanged sentences

26 Weeks Ended

(in millions) May 2, 2026 May 3, 2025

(in millions) August 1, 2026 August 2, 2025

Cash flows from operating activities:

22 unchanged sentences

Capital expenditures ( 498.8 ) ( 493.9 )

Proceeds from sale of discontinued operations — 668.0

Cash divested from sale of discontinued operations — ( 246.0 )

Proceeds from insurance recoveries — 50.0

Payments for fixed asset disposition ( 0.4 ) ( 0.1 )

Proceeds from (payments for) fixed asset disposition ( 1.0 ) 0.7

Net cash used in investing activities of continuing operations ( 499.8 ) ( 21.2 )

( 252.9 ) ( 198.9 )

Cash flows from financing activities:

Proceeds from long-term debt 500.0 —

Principal payments for long-term debt — ( 1,000.0 )

Debt-issuance costs — ( 3.8 )

Proceeds from commercial paper notes — 3,692.9

Repayments of commercial paper notes — ( 3,393.7 )

Proceeds from stock issued pursuant to stock-based compensation plans 3.8 4.9

17 unchanged sentences

Accrued capital expenditures $ 48.9 $ 40.6

(1) Supplemental disclosures are inclusive of activity for discontinued operations for the 13 weeks ended May 3, 2025.

(1) Supplemental disclosures are inclusive of activity for discontinued operations through the completion of the sale of the Family Dollar business on July 5, 2025.

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements.

9 unchanged sentences

Securities and Exchange Commission (“SEC”) on March 16, 2026.

The results of operations for the 13 weeks ended May 2, 2026 are not necessarily indicative of the results to be expected for the entire fiscal year ending January 30, 2027.

In our opinion, the unaudited condensed consolidated financial statements included herein contain all adjustments (including those of a normal recurring nature) considered necessary for a fair presentation of our financial position as of May 2, 2026 and May 3, 2025 and the results of our operations and cash flows for the periods presented.

The results of operations for the 13 and 26 weeks ended August 1, 2026 are not necessarily indicative of the results to be expected for the entire fiscal year ending January 30, 2027.

In our opinion, the unaudited condensed consolidated financial statements included herein contain all adjustments (including those of a normal recurring nature) considered necessary for a fair presentation of our financial position as of August 1, 2026 and August 2, 2025 and the results of our operations and cash flows for the periods presented.

The January 31, 2026 balance sheet information was derived from the audited consolidated financial statements as of that date.

6 unchanged sentences

The results of Family Dollar are presented as discontinued operations in the accompanying unaudited Condensed Consolidated Income Statements for the prior year comparable period.

The assets and liabilities of Family Dollar are reflected as assets and liabilities of discontinued operations in the accompanying unaudited Condensed Consolidated Balance Sheets for the prior year comparable period.

Unless otherwise noted, all amounts and disclosures included in these Notes to Unaudited Condensed Consolidated Financial Statements reflect only our continuing operations.

11 unchanged sentences

We are currently evaluating the impact of this standard to our consolidated financial statements.

In May 2026, the FASB issued ASU 2026-02, “Environmental Credits and Environmental Credit Obligations (Topic 818)” (“ASU 2026-02”), which establishes accounting and disclosure requirements for environmental credits and related environmental credit obligations.

ASU 2026-02 is effective for annual and interim periods beginning in fiscal 2028, with early adoption permitted.

ASU 2026-02 requires retrospective application through a cumulative-effect adjustment to the opening balance of

retained earnings as of the beginning of the annual reporting period of adoption.

We are currently evaluating the impact of this standard to our consolidated financial statements.

We have reviewed all other recently issued accounting standards and determined they were either not applicable or not expected to have a material impact on our financial position or results of operations.

28 unchanged sentences

Similarly, in July 2025, the DOC initiated a circumvention case regarding whether aluminum pans produced in Thailand and Vietnam were circumventing the AD and CVD orders by using parent rolls of aluminum from China.

In addition to DOC’s assessment of duties on product imported after case initiation, petitioners in both cases have requested the DOC to apply duties retroactively to imports that occurred prior to the initiation of the circumvention cases.

In addition to the DOC’s assessment of duties on products imported after case initiation, petitioners in both cases have requested the DOC to apply duties retroactively to imports that occurred prior to the initiation of the circumvention cases.

The Company imported both products from impacted countries during the requested retroactive period and after initiation of the cases.

In April 2026, the DOC issued a preliminary determination in the aluminum pan case, affirming retroactive application, with a final determination scheduled for July 2026.

Subsequent to May 2, 2026, the Company filed a brief and requested a hearing with the DOC prior to the final determination.

The preliminary and final determinations in the paper plate case are expected later in 2026.

In April 2026, the DOC issued a preliminary determination in the aluminum pans case, affirming retroactive application.

In May 2026, the Company filed a brief and in June 2026 it participated in a hearing to argue that the DOC should reverse its decision regarding retroactive application in its final determination.

The DOC has extended the final determination in the aluminum pans case to August 31, 2026.

In July 2026, the DOC issued a preliminary determination in the paper plates case, finding that retroactive application is not supported by the evidence in the case record.

Petitioners filed a brief arguing that the DOC should reverse its decision not to apply duties retroactively.

In response, the Company has filed a rebuttal brief and requested a hearing on this issue.

The final determination deadline in the paper plates case is on October 14, 2026.

Although the DOC has significant discretion in deciding these cases, based on past precedent of DOC rulings, the Company does not believe it is probable that we will incur losses with respect to retroactive duties.

Total exposure in these cases is currently estimated to be as high as approximately $ 56 million for aluminum pans and $ 53 million for paper plates, as of May 26, 2026.

Total exposure for retroactive duties in these cases is currently estimated to be as high as approximately $ 11 million for aluminum pans and $ 15 million for paper plates.

For products imported after initiation of the cases, we recorded a charge of approximately $ 13 million during the second quarter of fiscal 2026 for AD and CVD.

In August 2026, the DOC initiated a new case regarding whether aluminum pans from Malaysia and Indonesia were circumventing the 2025 AD and CVD orders.

To the extent the DOC makes an affirmative determination that aluminum pans from these countries had Chinese inputs, the Company’s imports may be subject to AD/CVD duties.

The DOC has announced a preliminary determination date of January 4, 2027.

The Company is currently unable to predict the ultimate outcome of these proceedings.

Tariff Refunds

On February 20, 2026, the U.S.

Supreme Court ruled that certain of the tariffs imposed in fiscal 2025 under the International Emergency Economic Powers Act (“IEEPA”) were unlawful.

The ruling did not address potential refunds;

however, on March 4, 2026, the U.S.

Court of International Trade ordered U.S.

Supreme Court ruled that certain of the tariffs imposed in fiscal 2025 under the International Emergency Economic Powers Act (“IEEPA”) were unlawful and remanded the case to the U.S.

Court of International Trade (“CIT”) to provide a remedy for importers who had paid the tariffs.

On March 4, 2026, the CIT ordered U.S.

Customs and Border Protection (“CBP”) to begin refunding all tariffs imposed under IEEPA.

On April 20, 2026, the CBP launched a process for submitting IEEPA refund claims.

The Company submitted refund claims in April 2026 and will record these refunds as and when the amounts are collected.

Subsequent to May 2, 2026, the Company began receiving refunds for IEEPA tariffs previously paid, totaling approximately $ 110 million through May 26, 2026, including $ 6 million of interest.

On April 20, 2026, CBP launched a process for importers to submit IEEPA refund claims.

The Company submitted claims for refunds totaling $ 379 million in April 2026.

In the second quarter of fiscal 2026, the Company began receiving refunds for IEEPA tariffs previously paid, totaling approximately $ 369 million, plus $ 14 million of interest.

Approximately $ 369 million is reflected within “Cost of sales,” and the interest is reflected within “Other income, net” in the accompanying unaudited Condensed Consolidated Income Statements.

We do not expect the amounts of the remaining refunds of IEEPA tariffs to be material.

Note 4 - Short-Term Borrowings and Long-Term Debt

4 unchanged sentences

The Term Loan Credit Agreement allows voluntary repayment of the Term Loan at any time without premium or penalty, other than customary breakage costs with respect to SOFR loans.

There is no required amortization under the Term Loan.

The Term Loan contains a number of customary affirmative and negative covenants that, among other things, restrict, subject to certain exceptions, the Company’s ability to incur subsidiary indebtedness, incur liens, sell all or substantially all of our (including our subsidiaries’) assets and consummate certain fundamental changes.

1 unchanged sentence

The Term Loan Credit Agreement provides for certain events of default which, if any of them occur, would permit or require the Term Loan to be declared due and payable and the commitments thereunder to be terminated.

As of May 2, 2026, we were in compliance with all applicable covenants.

As of August 1, 2026, we were in compliance with all applicable covenants.

Termination of the Existing Credit Agreement

3 unchanged sentences

The Company’s $ 1.5 billion revolving credit facility (the “ Five-Year Credit Facility”) serves as a liquidity backstop for the repayment of notes outstanding under the commercial paper program.

There were no short-term borrowings outstanding at May 2, 2026, January 31, 2026 and May 3, 2025.

In the second quarter of fiscal 2025, we leveraged our commercial paper program, in addition to utilizing available cash, to redeem our $ 1.0 billion principal amount of 4.00 % Senior Notes due 2025 (the “ 4.00 % Senior Notes”).

There were no short-term borrowings outstanding at August 1, 2026 and January 31, 2026.

As of August 2, 2025, $ 300.0 million principal amount of notes were outstanding under our commercial paper program, with a weighted-average interest rate of 4.6 %.

Note 5 - Fair Value Measurements

4 unchanged sentences

that is, the assets and liabilities are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (e.g., when there is evidence of impairment).

We did not record any material impairment charges during the 13 weeks ended May 2, 2026 or May 3, 2025.

We did not record any material impairment charges during the 13 or 26 weeks ended August 1, 2026 or August 2, 2025.

Fair Value of Financial Instruments

1 unchanged sentence

The carrying values of our Five-Year Credit Facility and borrowings under our commercial paper program approximate their fair values.

At May 2, 2026, we had no borrowings outstanding under our Five-Year Credit Facility or our commercial paper program.

At August 1, 2026, we had no borrowings outstanding under our Five-Year Credit Facility or our commercial paper program.

The aggregate fair values and carrying values of our long-term borrowings, including current portion, were as follows:

May 2, 2026 January 31, 2026 May 3, 2025

August 1, 2026 January 31, 2026 August 2, 2025

(in millions) Fair Value Carrying Value Fair Value Carrying Value Fair Value Carrying Value

5 unchanged sentences

The following table sets forth the calculations of basic and diluted earnings per share:

13 Weeks Ended

(in millions, except per share data) May 2, 2026 May 3, 2025

13 Weeks Ended 26 Weeks Ended

(in millions, except per share data) August 1, 2026 August 2, 2025 August 1, 2026 August 2, 2025

Income from continuing operations $ 514.5 $ 155.5 $ 861.8 $ 469.0

2 unchanged sentences

Weighted average number of shares outstanding 190.6 207.3 193.7 210.4

Dilutive impact of share-based awards (as determined by

applying the treasury stock method) 0.6 0.3

Weighted average number of shares and dilutive

potential shares outstanding 197.4 213.9

Dilutive impact of share-based awards (as determined by applying the treasury stock method) 0.3 0.5 0.4 0.4

Weighted average number of shares and dilutive potential shares outstanding 190.9 207.8 194.1 210.8

Basic earnings per share of common stock:

6 unchanged sentences

Total diluted earnings per share of common stock $ 2.70 $ 0.91 $ 4.44 $ 2.52

Share-based awards of 2.3 million shares and 2.6 million shares were excluded from the calculation of diluted net income per share for the 13 weeks ended May 2, 2026 and May 3, 2025, respectively, because their inclusion would be anti-dilutive.

Shares excluded from the calculation of diluted net income per share because their inclusion would be anti-dilutive 1.8 2.2 1.8 2.2

Note 7 - Shareholders’ Equity

We repurchased 5,552,410 shares of common stock on the open market at a cost of $ 600.4 million, including applicable excise tax, during the 13 weeks ended May 2, 2026.

We repurchased 5,926,985 shares of common stock on the open market at a cost of $ 436.8 million, including applicable excise tax, during the 13 weeks ended May 3, 2025.

Of the shares repurchased during the 13 weeks ended May 2, 2026 and May 3, 2025, $ 18.0 million and $ 5.0 million, respectively, settled subsequent to May 2, 2026 and May 3, 2025, respectively, and these amounts were accrued in the accompanying unaudited Condensed Consolidated Balance Sheets.

At May 2, 2026, we had $ 1.3 billion remaining under our existing $ 2.5 billion Board repurchase authorization.

Subsequent to May 2, 2026, we purchased an additional 1,031,569 shares of common stock on the open market at a cost of $ 98.0 million, as of May 26, 2026.

We repurchased 5,584,354 and 11,136,764 shares of common stock on the open market and in a block trade transaction at a cost of $ 612.0 million and $ 1.2 billion, including applicable excise tax, during the 13 and 26 weeks ended August 1, 2026, respectively.

We repurchased 5,030,092 and 10,957,077 shares of common stock on the open market at a cost of $ 501.4 million and $ 938.2 million, including applicable excise tax, during the 13 and 26 weeks ended August 2, 2025, respectively.

Of the shares repurchased during the 26 weeks ended August 1, 2026 and August 2, 2025, $ 0.5 million and $ 5.5 million, respectively, settled subsequent to August 1, 2026 and August 2, 2025, respectively, and these amounts were accrued in the accompanying unaudited Condensed Consolidated Balance Sheets.

In June 2026, we repurchased $ 500.0 million of our common stock as part of a block trade involving selling stockholders including certain funds affiliated with Mantle Ridge LP which is reflected in the current year share repurchase activity above.

In July 2026, our Board of Directors replenished our share repurchase authorization to an aggregate amount of $ 2.5 billion, consistent with the authorization limit previously approved by the Board in July 2025.

At August 1, 2026, we had $ 2.49 billion remaining under the $ 2.5 billion Board repurchase authorization.

Subsequent to August 1, 2026, we purchased an additional 41,412 shares of common stock on the open market at a cost of $ 5.3 million as of August 25, 2026.

Note 8 - Segments and Disaggregated Revenue

Dollar Tree is a leading operator of discount variety stores offering merchandise predominantly at the opening price point of $ 1.25 , with additional offerings at higher price points.

The Company operates approximately 9,100 stores across 48 states and the District of Columbia and approximately 285 stores across seven Canadian provinces.

We also operate 16 distribution centers in the United States and two distribution centers in Canada, as of May 2, 2026.

The Company operates 9,150 stores across 48 states and the District of Columbia and approximately 285 stores across seven Canadian provinces as of August 1, 2026.

We also operate 17 distribution centers in the United States.

Distribution services in Canada are provided by a third party from two facilities, one in British Columbia and one in Ontario.

Our revenue and assets in Canada are not material.

The Company has revised its composition of reportable segments in the first quarter of fiscal 2026 to disclose only one reportable segment.

The Company revised its composition of reportable segments in the first quarter of fiscal 2026 to disclose only one reportable segment.

In fiscal 2025, the Company previously reported the Dollar Tree segment, which included the operations of all our stores and distribution centers under the Dollar Tree and Dollar Tree Canada brands, and corporate, support and other, which consisted of store support center costs and the results of operations for our Summit Pointe property in Chesapeake, Virginia.

1 unchanged sentence

As a result of this change, we have recast prior year amounts to conform to the presentation of one reportable segment.

Our chief operating decision maker (“CODM”) is our chief executive officer of the enterprise.

Our chief operating decision maker (“CODM”) is our chief executive officer of the Company.

The CODM evaluates the financial performance of the Company using consolidated net income, operating income and gross profit.

2 unchanged sentences

The CODM uses operating income to evaluate the overall operating performance of the business.

The measure of segment assets is reported on the Company’s Condensed Consolidated Balance Sheets as total consolidated assets.

The measure of segment assets is reported on the Company’s unaudited Condensed Consolidated Balance Sheets as total consolidated assets.

Profit and loss information for our one reportable segment, is as follows:

13 Weeks Ended

(in millions) May 2, 2026 May 3, 2025

13 Weeks Ended 26 Weeks Ended

(in millions) August 1, 2026 August 2, 2025 August 1, 2026 August 2, 2025

Net sales $ 4,886.5 $ 4,566.8 $ 9,857.0 $ 9,203.3

12 unchanged sentences

Capital expenditures $ 246.3 $ 245.1 $ 498.8 $ 493.9

Corporate selling, general and administrative expenses were $ 141.8 million and $ 141.8 million, for the 13 weeks ended May 2, 2026 and May 3, 2025, respectively.

Corporate selling, general and administrative expenses were $ 130.8 million and $ 272.6 million for the 13 weeks and 26 weeks ended August 1, 2026, respectively.

Corporate selling, general and administrative expenses were $ 147.6 million and $ 289.4 million for the 13 weeks and 26 weeks ended August 2, 2025, respectively.

Disaggregated Revenue

The following table summarizes net sales by merchandise category for our reportable segment:

13 Weeks Ended

(in millions) May 2, 2026 May 3, 2025

13 Weeks Ended 26 Weeks Ended

(in millions) August 1, 2026 August 2, 2025 August 1, 2026 August 2, 2025

Consumable $ 2,521.7 51.6 % $ 2,311.0 50.6 % $ 5,016.4 50.9 % $ 4,647.6 50.5 %

7 unchanged sentences

As such, the outstanding payment obligations under our supply chain financing program are included within “Accounts payable” in the accompanying unaudited Condensed Consolidated Balance Sheets and within “Cash flows from operating activities” in the accompanying unaudited Condensed Consolidated Statements of Cash Flows.

Our outstanding payment obligations under this program were $ 298.4 million, $ 305.1 million and $ 352.0 million as of May 2, 2026, January 31, 2026, and May 3, 2025, respectively.

Our outstanding payment obligations under this program were $ 305.6 million, $ 305.1 million and $ 329.7 million as of August 1, 2026, January 31, 2026, and August 2, 2025, respectively.

Note 10 – Discontinued Operations

2 unchanged sentences

The Company has continuing involvement with Family Dollar under a transition services agreement, through which the Company and Family Dollar continue to provide certain services to each other for a period of 18 months following the date of sale.

For the 13 weeks ended May 2, 2026, we recorded $ 21.1 million of net income from transition services between the two companies.

In addition, the Company is guaranteeing lease obligations for 114 Family Dollar stores amounting to approximately $ 83.0 million for the first year following the date of sale, which represents the full lease obligations on these stores.

The amount guaranteed in the second and third year following the date of sale is $ 20.0 million and $ 10.0 million, respectively.

For the 13 and 26 weeks ended August 1, 2026, we recorded $ 17.7 million and $ 38.8 million, respectively, of net income from transition services between the two companies.

For the 13 and 26 weeks ended August 2, 2025, we recorded $ 8.0 million of net income from transition services between the two companies.

In addition, the Company is guaranteeing lease obligations for certain Family Dollar stores amounting to $ 20.0 million and $ 10.0 million in the second and third year following the date of sale, respectively.

The fair value of the lease guarantee is immaterial.

The results of Family Dollar are presented as discontinued operations in the accompanying unaudited Condensed Consolidated Income Statements for the prior year comparable period.

Financial Information of Discontinued Operations

1 unchanged sentence

The following table summarizes the results of operations of the Family Dollar business that are being reported as discontinued operations:

13 Weeks Ended

(in millions) May 3, 2025

13 Weeks Ended 26 Weeks Ended

(in millions) August 2, 2025 August 2, 2025

Net sales $ 2,315.9 $ 5,625.5

9 unchanged sentences

Income from discontinued operations, net of tax $ 32.9 $ 62.8

The following table summarizes the Family Dollar business assets and liabilities classified as discontinued operations in the accompanying unaudited Condensed Consolidated Balance Sheets:

(in millions)

Cash and cash equivalents $ 227.1

Merchandise inventories 2,330.5

Other current assets 188.0

Property, plant and equipment, net 2,256.3

Operating lease right-of-use assets 2,559.1

Trade name intangible asset 750.0

Other assets 10.5

Valuation allowance to adjust assets to estimated fair value,

less costs of disposal ( 3,616.0 )

Total assets of discontinued operations $ 4,705.5

Current portion of operating lease liabilities $ 584.4

Accounts payable 880.5

Other current liabilities 336.7

Operating lease liabilities, long-term 1,966.3

Other liabilities 135.8

Total liabilities of discontinued operations $ 3,903.7

Assets and liabilities classified as held for sale are required to be recorded at the lower of carrying value or fair value less costs to sell.

As of May 3, 2025, we remeasured the fair value of the Family Dollar business, including costs to sell and recorded an additional valuation allowance of $ 258.4 million.

In addition, during the first quarter of fiscal 2025, certain assets and liabilities of the Family Dollar business were moved out of held for sale as they were retained by Dollar Tree.

The assets and liabilities included 57 combo stores that were converted to Dollar Tree stores, and were reclassified as held and used at their fair value, which resulted in a $ 71.4 million reduction to the valuation allowance.

On July 5, 2025, the effective date of the sale, we recorded an additional loss on disposal totaling $ 144.1 million.

The fair value of the Family Dollar business was estimated using the expected sale price as negotiated with the third party buyer.

The valuation allowance was recorded within “Loss on held for sale and disposal of discontinued operations” in the summarized results of operations of discontinued operations for the 13 weeks ended May 3, 2025.

Capital expenditures related to discontinued operations were $ 44.1 million for the 13 weeks ended May 3, 2025.

Capital expenditures related to discontinued operations were $ 77.8 million for the 26 weeks ended August 2, 2025.

Note 11 - Unaudited Condensed Consolidated Financial Statement Details

The Unaudited Condensed Consolidated Statements of Cash Flows for the 13 weeks ended May 3, 2025 includes the cash flows of continuing and discontinued operations.

The following is a reconciliation between “Cash and cash equivalents” and “Restricted cash” of continuing operations presented in the Unaudited Condensed Consolidated Balance Sheets and the total cash, cash equivalents and restricted cash presented in the Unaudited Condensed Consolidated Statements of Cash Flows for the prior year period:

(in millions) May 3, 2025

We record restricted cash in captions other than “Cash and cash equivalents” on the unaudited Condensed Consolidated Balance Sheets.

The following is a reconciliation between “Cash and cash equivalents” and “Restricted cash” of continuing operations presented on the unaudited Condensed Consolidated Balance Sheets and the total cash, cash equivalents and restricted cash presented on the unaudited Condensed Consolidated Statements of Cash Flows:

(in millions) August 1, 2026 August 2, 2025

Cash and cash equivalents on the unaudited Condensed Consolidated Balance Sheets $ 1,058.1 $ 666.3

Restricted cash on the unaudited Condensed Consolidated Balance Sheets, included in “Other current assets” — 13.5

Restricted cash on the unaudited Condensed Consolidated Balance Sheets, noncurrent 43.7 77.5

Cash, cash equivalents and restricted cash of discontinued operations included in current

assets of discontinued operations on the Unaudited Condensed Consolidated Balance

Total cash, cash equivalents and restricted cash on the unaudited Condensed

1 unchanged sentence

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements