Item 1. Financial Statements.

DOLLAR TREE, INC.

CONDENSED CONSOLIDATED INCOME STATEMENTS

(Unaudited)

						13 Weeks Ended												26 Weeks Ended
(in millions, except per share data)						August 3, 2024						July 29, 2023						August 3, 2024						July 29, 2023
Net sales						$	7,372.7					$	7,320.1					$	14,999.1					$	14,639.6
Other revenue						6.1						5.2						12.5						9.5
Total revenue						7,378.8						7,325.3						15,011.6						14,649.1
Cost of sales						5,158.2						5,185.4						10,436.9						10,274.5
Selling, general and administrative expenses						2,017.5						1,852.1						3,951.0						3,667.1
Operating income						203.1						287.8						623.7						707.5
Interest expense, net						28.9						24.2						53.3						50.1
Other (income) expense, net						—						(0.1)						0.1						—
Income before income taxes						174.2						263.7						570.3						657.4
Provision for income taxes						41.8						63.3						137.8						158.0
Net income						$	132.4					$	200.4					$	432.5					$	499.4
Basic net income per share of common stock						$	0.62					$	0.91					$	2.00					$	2.26
Diluted net income per share of common stock						$	0.62					$	0.91					$	2.00					$	2.26
Weighted average common shares outstanding:
Basic						215.0						220.1						216.4						220.6
Diluted						215.2						220.5						216.7						221.1

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements.

DOLLAR TREE, INC.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

						13 Weeks Ended												26 Weeks Ended
(in millions)						August 3, 2024						July 29, 2023						August 3, 2024						July 29, 2023
Net income						$	132.4					$	200.4					$	432.5					$	499.4
Foreign currency translation adjustments						(3.4)						3.9						(5.4)						1.1
Total comprehensive income						$	129.0					$	204.3					$	427.1					$	500.5

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements.

DOLLAR TREE, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

(in millions, except par value and share data)						August 3, 2024						February 3, 2024						July 29, 2023
ASSETS
Current assets:
Cash and cash equivalents						$	570.3					$	684.9					$	512.7
Merchandise inventories						5,101.6						5,112.8						5,329.4
Other current assets						420.4						335.0						315.3
Total current assets						6,092.3						6,132.7						6,157.4
Restricted cash						74.1						72.3						70.1
Property, plant and equipment, net of accumulated depreciation of $6,860.4, $6,631.4 and $6,361.6, respectively						6,533.1						6,144.1						5,359.2
Operating lease right-of-use assets						6,699.6						6,488.3						6,670.9
Goodwill						913.0						913.8						1,983.3
Trade name intangible asset						2,150.0						2,150.0						3,100.0
Deferred tax asset						7.5						9.0						13.1
Other assets						147.0						113.3						74.0
Total assets						$	22,616.6					$	22,023.5					$	23,428.0
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term borrowings						$	249.8					$	—					$	—
Current portion of long-term debt						1,000.0						—						—
Current portion of operating lease liabilities						1,536.5						1,513.0						1,478.6
Accounts payable						2,236.1						2,063.8						1,776.4
Income taxes payable						0.4						52.7						10.0
Other current liabilities						977.1						1,067.2						885.3
Total current liabilities						5,999.9						4,696.7						4,150.3
Long-term debt, net, excluding current portion						2,428.7						3,426.3						3,423.9
Operating lease liabilities, long-term						5,582.6						5,447.6						5,447.8
Deferred income taxes, net						916.7						841.1						1,107.6
Income taxes payable, long-term						19.3						22.0						18.1
Other liabilities						289.9						276.7						249.3
Total liabilities						15,237.1						14,710.4						14,397.0
Contingencies (Note 3)
Shareholders’ equity:
Common stock, par value $0.01; 600,000,000 shares authorized, 214,985,820, 217,907,206 and 219,918,166 shares issued and outstanding, respectively						2.2						2.2						2.2
Additional paid-in capital						22.2						229.9						446.5
Accumulated other comprehensive loss						(49.0)						(43.6)						(40.1)
Retained earnings						7,404.1						7,124.6						8,622.4
Total shareholders’ equity						7,379.5						7,313.1						9,031.0
Total liabilities and shareholders’ equity						$	22,616.6					$	22,023.5					$	23,428.0

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements.

DOLLAR TREE, INC.

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY

(Unaudited)

						13 Weeks Ended August 3, 2024
(in millions)						Common Stock Shares						Common Stock						Additional Paid-in Capital						Accumulated Other Comprehensive Loss						Retained Earnings						Shareholders' Equity
Balance at May 4, 2024						215.7						$	2.2					$	—					$	(45.6)					$	7,355.8					$	7,312.4
Net income						—						—						—						—						132.4						132.4
Total other comprehensive loss						—						—						—						(3.4)						—						(3.4)
Issuance of stock under Employee Stock Purchase Plan						0.1						—						1.8						—						—						1.8
Stock-based compensation, net						—						—						27.1						—						—						27.1
Repurchase of stock						(0.8)						—						(5.9)						—						(84.1)						(90.0)
Excise tax on repurchases of stock						—						—						(0.8)						—						—						(0.8)
Balance at August 3, 2024						215.0						$	2.2					$	22.2					$	(49.0)					$	7,404.1					$	7,379.5

						26 Weeks Ended August 3, 2024
(in millions)						Common Stock Shares						Common Stock						Additional Paid-in Capital						Accumulated Other Comprehensive Loss						Retained Earnings						Shareholders' Equity
Balance at February 3, 2024						217.9						$	2.2					$	229.9					$	(43.6)					$	7,124.6					$	7,313.1
Net income						—						—						—						—						432.5						432.5
Total other comprehensive loss						—						—						—						(5.4)						—						(5.4)
Issuance of stock under Employee Stock Purchase Plan						0.1						—						5.6						—						—						5.6
Exercise of stock options						—						—						0.1						—						—						0.1
Stock-based compensation, net						0.3						—						37.2						—						—						37.2
Repurchase of stock						(3.3)						—						(247.0)						—						(153.0)						(400.0)
Excise tax on repurchases of stock						—						—						(3.6)						—						—						(3.6)
Balance at August 3, 2024						215.0						$	2.2					$	22.2					$	(49.0)					$	7,404.1					$	7,379.5

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements.

DOLLAR TREE, INC.

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY (cont.)

(Unaudited)

						13 Weeks Ended July 29, 2023
(in millions)						Common Stock Shares						Common Stock						Additional Paid-in Capital						Accumulated Other Comprehensive Loss						Retained Earnings						Shareholders' Equity
Balance at April 29, 2023						220.6						$	2.2					$	519.5					$	(44.0)					$	8,422.0					$	8,899.7
Net income						—						—						—						—						200.4						200.4
Total other comprehensive income						—						—						—						3.9						—						3.9
Issuance of stock under Employee Stock Purchase Plan						—						—						2.5						—						—						2.5
Stock-based compensation, net						—						—						24.4						—						—						24.4
Repurchase of stock						(0.7)						—						(98.9)						—						—						(98.9)
Excise tax on repurchases of stock						—						—						(1.0)						—						—						(1.0)
Balance at July 29, 2023						219.9						$	2.2					$	446.5					$	(40.1)					$	8,622.4					$	9,031.0

						26 Weeks Ended July 29, 2023
(in millions)						Common Stock Shares						Common Stock						Additional Paid-in Capital						Accumulated Other Comprehensive Loss						Retained Earnings						Shareholders' Equity
Balance at January 28, 2023						221.2						$	2.2					$	667.5					$	(41.2)					$	8,123.0					$	8,751.5
Net income						—						—						—						—						499.4						499.4
Total other comprehensive income						—						—						—						1.1						—						1.1
Issuance of stock under Employee Stock Purchase Plan						—						—						5.4						—						—						5.4
Exercise of stock options						—						—						0.1						—						—						0.1
Stock-based compensation, net						0.4						—						25.5						—						—						25.5
Repurchase of stock						(1.7)						—						(250.0)						—						—						(250.0)
Excise tax on repurchases of stock						—						—						(2.0)						—						—						(2.0)
Balance at July 29, 2023						219.9						$	2.2					$	446.5					$	(40.1)					$	8,622.4					$	9,031.0

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements.

DOLLAR TREE, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

						26 Weeks Ended
(in millions)						August 3, 2024						July 29, 2023
Cash flows from operating activities:
Net income						$	432.5					$	499.4
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization						480.6						399.0
Provision for deferred income taxes						76.7						3.8
Stock-based compensation expense						57.5						53.2
Impairments						0.2						1.3
Other non-cash adjustments to net income						5.4						38.6
Changes in operating assets and liabilities:
Merchandise inventories						(16.5)						120.5
Income taxes receivable						—						(22.0)
Other current assets						(39.3)						(18.5)
Other assets						(34.1)						(15.9)
Accounts payable						173.1						(123.8)
Income taxes payable						(52.2)						(48.0)
Other current liabilities						(33.7)						35.7
Other liabilities						10.7						4.8
Operating lease right-of-use assets and liabilities, net						(58.3)						(4.3)
Net cash provided by operating activities						1,002.6						923.8
Cash flows from investing activities:
Capital expenditures						(972.9)						(775.8)
Proceeds from insurance recoveries						25.8						—
Payments for fixed asset disposition						(2.9)						(5.2)
Net cash used in investing activities						(950.0)						(781.0)
Cash flows from financing activities:
Net proceeds from commercial paper notes						249.7						—
Proceeds from stock issued pursuant to stock-based compensation plans						5.7						5.5
Cash paid for taxes on exercises/vesting of stock-based compensation						(20.3)						(27.7)
Payments for repurchase of stock						(400.0)						(250.0)
Net cash used in financing activities						(164.9)						(272.2)
Effect of exchange rate changes on cash, cash equivalents and restricted cash						(0.5)						0.9
Net decrease in cash, cash equivalents and restricted cash						(112.8)						(128.5)
Cash, cash equivalents and restricted cash at beginning of period						757.2						711.3
Cash, cash equivalents and restricted cash at end of period						$	644.4					$	582.8
Supplemental disclosure of cash flow information:
Cash paid for:
Interest, net of amounts capitalized						$	67.1					$	64.5
Income taxes						$	115.6					$	223.6
Non-cash transactions:
Right-of-use assets obtained in exchange for new operating lease liabilities						$	953.5					$	959.7
Accrued capital expenditures						$	78.7					$	86.3
Losses on property, plant and equipment recorded in insurance receivables						$	20.9					$	—

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements.

DOLLAR TREE, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 1 - Basis of Presentation

Unless otherwise stated, references to “we,” “us,” and “our” in this quarterly report on Form 10-Q refer to Dollar Tree, Inc. and its direct and indirect subsidiaries on a consolidated basis. We have prepared the accompanying unaudited condensed consolidated financial statements in accordance with U.S. generally accepted accounting principles for interim financial information and pursuant to the requirements of Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete consolidated financial statements. The unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” contained in our Annual Report on Form 10-K for the fiscal year ended February 3, 2024 filed with the U.S. Securities and Exchange Commission (“SEC”) on March 20, 2024. The results of operations for the 13 and 26 weeks ended August 3, 2024 are not necessarily indicative of the results to be expected for the entire fiscal year ending February 1, 2025.

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 3, 2024 and July 29, 2023 and the results of our operations and cash flows for the periods presented. The February 3, 2024 balance sheet information was derived from the audited consolidated financial statements as of that date.

All intercompany balances and transactions have been eliminated in consolidation. All amounts stated herein are in U.S. Dollars.

Note 2 - Recent Accounting Pronouncements

Recently Adopted Accounting Pronouncements

In September 2022, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2022-04 "Liabilities - Supplier Finance Programs (Subtopic 405-50)" ("ASU 2022-04") which requires entities to disclose the key terms of supplier finance programs used in connection with the purchase of goods and services along with information about their obligations under these programs, including a rollforward of those obligations. We adopted ASU 2022-04 in fiscal 2023 on a retrospective basis, except for the amendments relating to the rollforward requirement, which are effective on a prospective basis beginning in fiscal 2024 within the Annual Report on Form 10-K. Refer to Note 9 for a discussion of our supply chain finance program.

Recently Issued Accounting Pronouncements

In November 2023, the FASB issued ASU 2023-07 “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures” (“ASU 2023-07”) which requires disclosure of incremental segment information on an annual and interim basis, including enhanced disclosures about significant segment expenses that are regularly provided to the chief operating decision maker (“CODM”) and included within each reported measure of segment profit or loss. ASU 2023-07 also requires entities to disclose the title and position of the CODM and explain how the CODM uses the reported measures of segment profit or loss in assessing performance and allocating resources. Further, it requires that all annual disclosures about a reportable segment’s profit or loss and assets currently required by Topic 280 be provided in interim periods. ASU 2023-07 is effective on a retrospective basis for annual periods beginning in fiscal 2024 and for interim periods beginning in fiscal 2025. We are currently evaluating the impact of this standard to our consolidated financial statements.

In December 2023, the FASB issued ASU 2023-09 “Income Taxes (Topic 740): Improvements to Income Tax Disclosures” (“ASU 2023-09”) which requires entities to disclose specific categories and greater disaggregation of information in the effective tax rate reconciliation, as well as disaggregated disclosure of income taxes paid, pretax income and income tax expense by jurisdiction. The standard also removes certain disclosure requirements that currently exist under Topic 740. ASU 2023-09 is effective on a prospective basis for annual periods beginning in fiscal 2025, with retrospective application permitted. We are currently evaluating the impact of this standard to our consolidated financial statements.

Note 3 - Contingencies

On April 28, 2024, a tornado destroyed our Dollar Tree distribution center in Marietta, Oklahoma. Based on the significant damage sustained by the facility, the inventory contained in the facility and the facility itself are not salvageable. We incurred losses totaling $117.0 million in the first quarter of fiscal 2024, consisting of $70.0 million related to damaged inventory and $47.0 million related to property and equipment. These losses were fully offset by insurance receivables. As of August 3, 2024, we have received insurance proceeds totaling $70.8 million, including $45.0 million related to damaged inventory and $25.8 million related to damaged property and equipment. We expect that the remaining inventory losses and property and equipment losses will be fully offset by insurance recoveries under our distribution center insurance policies.

Expected insurance recoveries for business interruption and redevelopment costs greater than the losses recognized cannot be estimated at this time.

The foregoing losses and expected insurance recoveries are based on information currently available to us. We continue to assess these estimates and will recognize any changes to these estimates in the period(s) in which they are determined. The final losses, insurance recoveries and net charges could vary from these estimates.

Legal Proceedings

We are defendants in ordinary, routine litigation or proceedings incidental to our business, including employment-related matters; infringement of intellectual property rights; personal injury/wrongful death claims; real estate matters; environmental and safety issues; and product safety matters. Legal proceedings may also include class, collective, representative and large cases and arbitrations, including those described below. We will vigorously defend ourselves in these matters. We do not believe that any of these matters will, individually or in the aggregate, have a material effect on our business, financial condition, or liquidity. We cannot give assurance, however, that one or more of these matters will not have a material effect on our results of operations for the quarter or year in which they are reserved or resolved.

We assess our legal proceedings monthly and reserves are established if a loss is probable and the amount of such loss can be reasonably estimated. Many, if not substantially all, of our legal proceedings are subject to significant uncertainties and, therefore, determining the likelihood of a loss and the measurement of any loss can be complex and subject to judgment. With respect to the matters noted below where we have determined that a loss is reasonably possible but not probable, we are unable to reasonably estimate the amount or range of the possible loss at this time due to the inherent difficulty of predicting the outcome of and uncertainties regarding legal proceedings. Our assessments are based on estimates and assumptions that have been deemed reasonable by management, but that may prove to be incomplete or inaccurate, and unanticipated events and circumstances may occur that might cause us to change those estimates and assumptions. Management’s assessment of legal proceedings could change because of future determinations or the discovery of facts which are not presently known. Accordingly, the ultimate costs of resolving these proceedings may be substantially higher or lower than currently estimated.

Active Matters

Talc Product Matters

Multiple personal injury lawsuits are pending in state court in Illinois, New York, Texas, and New Jersey against Dollar Tree, Family Dollar or both alleging that certain talc products that we sold caused cancer. The plaintiffs seek compensatory, punitive and exemplary damages, damages for loss of consortium, and attorneys’ fees and costs. Although we have been able to resolve previous talc lawsuits against us without material loss, given the inherent uncertainties of litigation there can be no assurances regarding the outcome of pending or future cases. Future costs to litigate these cases are not known but may be material, and it is uncertain whether our costs will be covered by insurance. In addition, although we have indemnification rights against our vendors in several of these cases, it is uncertain whether the vendors will have the financial ability to fulfill their obligations to us.

Acetaminophen Matters

Since August 2022, more than 50 personal injury cases have been filed in federal court against Dollar Tree, Family Dollar, or both, on behalf of minors alleging that their mothers took acetaminophen while pregnant, that the acetaminophen interfered with fetal development such that plaintiffs were born with autism and/or ADHD, and that we knew or should have known of the danger, had a duty to warn and failed to include appropriate warnings on the product labels. The plaintiffs seek compensatory, punitive and/or exemplary damages, restitution and disgorgement, economic damages, and attorneys’ fees and costs. These cases, which originated in Alabama, California, Florida, Georgia, Louisiana, Minnesota, Missouri, North Carolina, Kentucky, Tennessee and Texas, along with other cases against many other defendants, were consolidated into multi-district court litigation in the Southern District of New York. The court disqualified plaintiffs’ experts and, on that basis dismissed all the cases which had been filed at the time of that decision, including all cases currently filed against us. The dismissal has been appealed to the Second Circuit by plaintiffs.

Resolved Matters

DC 202-Related Matters

As previously reported by the company on its Current Report on Form 8-K filed February 26, 2024, its Annual Report on Form 10-K filed March 20, 2024 and its Quarterly Report on Form 10-Q filed June 5, 2024, Family Dollar Stores, LLC (“Family Dollar”), a wholly-owned subsidiary of the company, has resolved a number of related matters connected to a past rodent infestation at Family Dollar’s West Memphis, Arkansas distribution center (“DC 202”) and recorded charges of $56.7 million in fiscal 2023 with respect to such matters. We do not believe any remaining matters associated with DC 202 will have a material adverse effect on our business, financial condition, or liquidity.

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

As of August 3, 2024, $250.0 million principal amount of notes were outstanding under our commercial paper program, with a weighted-average interest rate of 5.5%. There were no short-term borrowings outstanding at February 3, 2024 or July 29, 2023.

Note 5 - Fair Value Measurements

Financial assets and liabilities are classified in the fair value hierarchy in their entirety based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the valuation of fair value assets and liabilities and their placement within the fair value hierarchy levels.

Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis

Certain assets and liabilities are measured at fair value on a nonrecurring basis; 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 or 26 weeks ended August 3, 2024 or July 29, 2023.

Fair Value of Financial Instruments

The carrying amounts of “Cash and cash equivalents,” “Restricted cash” and “Accounts payable” as reported in the accompanying unaudited Condensed Consolidated Balance Sheets approximate fair value due to their short-term maturities. The carrying values of our Revolving Credit Facility and borrowings under our commercial paper program approximate their fair values.

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

						August 3, 2024												February 3, 2024												July 29, 2023
(in millions)						Fair Value						Carrying Value						Fair Value						Carrying Value						Fair Value						Carrying Value
Level 1
Senior Notes						$	3,184.1					$	3,431.8					$	3,140.0					$	3,430.1					$	3,087.4					$	3,428.3

The fair values of our Senior Notes were determined using Level 1 inputs as quoted prices in active markets for identical assets or liabilities are available.

Note 6 - Net Income Per Share

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

						13 Weeks Ended												26 Weeks Ended
(in millions, except per share data)						August 3, 2024						July 29, 2023						August 3, 2024						July 29, 2023
Basic net income per share:
Net income						$	132.4					$	200.4					$	432.5					$	499.4
Weighted average number of shares outstanding						215.0						220.1						216.4						220.6
Basic net income per share						$	0.62					$	0.91					$	2.00					$	2.26
Diluted net income per share:
Net income						$	132.4					$	200.4					$	432.5					$	499.4
Weighted average number of shares outstanding						215.0						220.1						216.4						220.6
Dilutive impact of share-based awards (as determined by applying the treasury stock method)						0.2						0.4						0.3						0.5
Weighted average number of shares and dilutive potential shares outstanding						215.2						220.5						216.7						221.1
Diluted net income per share						$	0.62					$	0.91					$	2.00					$	2.26

Share-based awards of 3.4 million shares and 3.1 million shares were excluded from the calculation of diluted net income per share for the 13 and 26 weeks ended August 3, 2024, respectively, because their inclusion would be anti-dilutive. Share-based awards of 2.4 million shares and 3.0 million shares were excluded from the calculation of diluted net income per share for the 13 and 26 weeks ended July 29, 2023, respectively, because their inclusion would be anti-dilutive.

Note 7 - Shareholders’ Equity

We repurchased 746,535 and 3,283,837 shares of common stock on the open market at a cost of $90.8 million and $403.6 million, including applicable excise tax, during the 13 and 26 weeks ended August 3, 2024, respectively. We repurchased 703,713 and 1,728,713 shares of common stock on the open market at a cost of $99.9 million and $252.0 million, including applicable excise tax, during the 13 and 26 weeks ended July 29, 2023, respectively. At August 3, 2024, we had $952.4 million remaining under our existing $2.5 billion Board repurchase authorization.

Note 8 - Segments and Disaggregated Revenue

We operate more than 16,300 retail discount stores in 48 states and five Canadian provinces. Our operations are conducted in two reporting business segments: Dollar Tree and Family Dollar. We define our segments as those operations whose results our CODM regularly reviews to analyze performance and allocate resources.

The Dollar Tree segment is the 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 Dollar Tree segment includes our operations under the “Dollar Tree” and “Dollar Tree Canada” brands, 15 distribution centers in the United States and two distribution centers in Canada.

The Family Dollar segment operates a chain of general merchandise retail discount stores providing consumers with a selection of competitively-priced merchandise in convenient neighborhood stores. The Family Dollar segment consists of our operations under the “Family Dollar” brand and ten distribution centers. The Family Dollar segment operating income (loss) includes advertising revenue, which is a component of “Other revenue” in the accompanying unaudited Condensed Consolidated Income Statements. On June 5, 2024, we announced that we had initiated a formal review of strategic alternatives for the Family Dollar business segment, which could include among others, a potential sale, spin-off or other disposition of the business. There is not a set deadline or definitive timetable for the completion of the strategic alternatives review process, and there can be no assurance that this process will result in any transaction or particular outcome.

We measure the results of our segments using, among other measures, each segment’s net sales, gross profit and operating income (loss). The CODM reviews these metrics for each of our reporting segments. We may revise the measurement of each segment’s operating income (loss), as determined by the information regularly reviewed by the CODM. If the measurement of a segment changes, prior period amounts and balances are reclassified to be comparable to the current period’s presentation. Corporate, support and other consists primarily of store support center costs and the results of operations for our Summit Pointe property in Chesapeake, Virginia that are considered shared services and therefore, these selling, general and administrative costs are excluded from our two reporting business segments.

Information for our segments, as well as for corporate, support and other, including the reconciliation to income before income taxes, is as follows:

						13 Weeks Ended												26 Weeks Ended
(in millions)						August 3, 2024						July 29, 2023						August 3, 2024						July 29, 2023
Condensed Consolidated Income Statement Data (Unaudited):
Net sales:
Dollar Tree						$	4,065.5					$	3,873.4					$	8,231.1					$	7,805.1
Family Dollar						3,307.2						3,446.7						6,768.0						6,834.5
Consolidated net sales						$	7,372.7					$	7,320.1					$	14,999.1					$	14,639.6
Gross profit:
Dollar Tree						$	1,391.3					$	1,293.3					$	2,867.8					$	2,681.9
Family Dollar						823.2						841.4						1,694.4						1,683.2
Consolidated gross profit						$	2,214.5					$	2,134.7					$	4,562.2					$	4,365.1
Operating income (loss):
Dollar Tree						$	342.0					$	397.8					$	864.3					$	933.5
Family Dollar						(14.6)						11.8						22.3						20.6
Corporate, support and other						(124.3)						(121.8)						(262.9)						(246.6)
Consolidated operating income						203.1						287.8						623.7						707.5
Interest expense, net						28.9						24.2						53.3						50.1
Other (income) expense, net						—						(0.1)						0.1						—
Income before income taxes						$	174.2					$	263.7					$	570.3					$	657.4

						As of
(in millions)						August 3, 2024						February 3, 2024						July 29, 2023
Condensed Consolidated Balance Sheet Data (Unaudited):
Goodwill:
Dollar Tree						$	422.5					$	423.3					$	423.8
Family Dollar						490.5						490.5						1,559.5
Consolidated goodwill						$	913.0					$	913.8					$	1,983.3
Total assets:
Dollar Tree						$	10,901.2					$	10,315.9					$	9,742.9
Family Dollar						10,922.1						11,037.0						13,065.0
Corporate, support and other						793.3						670.6						620.1
Consolidated total assets						$	22,616.6					$	22,023.5					$	23,428.0

Disaggregated Revenue

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

						13 Weeks Ended																								26 Weeks Ended
(in millions)						August 3, 2024												July 29, 2023												August 3, 2024												July 29, 2023
Dollar Tree segment net sales by merchandise category:
Consumable						$	2,058.4					50.6		%				$	1,880.9					48.5		%				$	4,150.4					50.4		%				$	3,768.1					48.3		%
Variety						1,992.1						49.0		%				1,981.8						51.2		%				3,900.1						47.4		%				3,845.4						49.3		%
Seasonal						15.0						0.4		%				10.7						0.3		%				180.6						2.2		%				191.6						2.4		%
Total Dollar Tree segment net sales						$	4,065.5					100.0		%				$	3,873.4					100.0		%				$	8,231.1					100.0		%				$	7,805.1					100.0		%
Family Dollar segment net sales by merchandise category:
Consumable						$	2,652.7					80.2		%				$	2,741.9					79.6		%				$	5,447.4					80.5		%				$	5,455.4					79.8		%
Home products						203.2						6.1		%				223.0						6.5		%				430.4						6.4		%				462.5						6.8		%
Apparel and accessories						167.8						5.1		%				174.4						5.0		%				332.1						4.9		%				337.6						4.9		%
Seasonal and electronics						283.5						8.6		%				307.4						8.9		%				558.1						8.2		%				579.0						8.5		%
Total Family Dollar segment net sales						$	3,307.2					100.0		%				$	3,446.7					100.0		%				$	6,768.0					100.0		%				$	6,834.5					100.0		%

Note 9 - Supply Chain Finance Program

During the third quarter of fiscal 2023, we implemented a supply chain finance program, administered through a financial institution, which provides participating suppliers with the opportunity to finance payments due from us. Participating suppliers may, at their sole discretion, elect to finance one or more invoices of ours prior to their scheduled due dates at a discounted price with the financial institution.

Our obligations to our suppliers, including amounts due and scheduled payment dates, are not impacted by the supplier’s decision to finance amounts under these arrangements. 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 $145.2 million and $11.8 million as of August 3, 2024 and February 3, 2024, respectively.