Dollar Tree, the second-largest US dollar-store retailer, fell as much as 6.7 per cent in early trading after forecasting sales for the year that trailed analysts’ estimates.
Revenue this year will be $15.3 billion to $15.5 billion, the Virginia-based company said Tuesday in a statement. Analysts estimated $15.6 billion.
Dollar Tree is working to absorb the Family Dollar chain of stores, which it acquired in a $9.07 billion deal in July. The takeover created a a more formidable competitor to Dollar General Inc., the largest US dollar-store chain by revenue.
Dollar Tree declined to give a profit forecast in the statement, citing the integration and plans to divest some Family Dollar stores to satisfy antitrust regulators’ concerns.
The shares slid as low as $71.16 before the start of regular trading in New York. Dollar Tree had gained 8.4 per cent this year through Monday.
Bloomberg News, edited by ESM. To subscribe to ESM: The European Supermarket Magazine, click here.