Dollar Tree Sees Q1 Earnings Below Estimates; FY17 Earnings In-line

(RTTNews) - While reporting its fourth-quarter financial results today, Dollar Tree (DLTR) provided its financial outlook for the first quarter and fiscal 2017. The company forecast earnings for the first quarter below analysts' estimates, while fiscal 2017 earnings are projected in line with their expectations.

For the first quarter, Dollar Tree forecast consolidated net sales to range from $5.26 billion to $5.35 billion, based on a flat to low single-digit increase in same-store sales for the combined enterprise, and earnings per share of $0.91 to $0.98. This compares to a reported earnings of $0.98 per share and adjusted earnings of $0.89 per share for the prior year's first quarter.

On average, analysts polled by Thomson Reuters expect earnings of $1.10 per share for the quarter on revenues of $5.32 billion. Analysts' estimates typically exclude special items.

For fiscal 2017, Dollar Tree estimates consolidated net sales between $21.94 billion and $22.33 billion, based on a flat to low single-digit increase in same-store sales and 3.9 percent square footage growth. The company projects earnings per share to range from $4.20 to $4.56.

Fiscal 2017 will include a 53rd week. The extra week, in the fourth quarter, is expected to add $400 million to $430 million to sales and $0.19 to $0.22 to earnings per share, both of which are included in the guidance.

The Street expects the company to earn $4.49 per share for the year on revenues of $21.89 billion.