10-Q · June 2, 2026
Dollar General's Q1 2026 results show robust growth with revenue reaching $10.44B, an increase from $10.30B in the previous quarter and $10.18B from the prior year. The diluted EPS of $1.78 also demonstrates a solid…
Earnings analysis · 10-Q
DG earnings analysis
Filed August 27, 2026 · Our reading of the company's report
The latest report
Dollar General delivered a strong quarter, with revenue of $11.290 billion and diluted EPS of $2.48 beating consensus estimates of $11.178 billion and $1.99, respectively. Gross margin increased to 32.6% and operating…
Read full summary
Dollar General delivered a strong quarter, with revenue of $11.290 billion and diluted EPS of $2.48 beating consensus estimates of $11.178 billion and $1.99, respectively. Gross margin increased to 32.6% and operating margin to 6.81%, although tariff refunds were a contributor and may not recur. Management raised fiscal 2026 EPS guidance to $7.80-$8.00 and increased its sales and same-store-sales outlook; the 10-Q reported no material changes to the formal risk-factor disclosures, while highlighting the ongoing ERP rollout through 2026 and 2027.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $2.48
What stood out
-
Revenue beat and accelerated
Revenue was $11.290 billion, exceeding the $11.178 billion consensus estimate by $112 million, or approximately 1.0%. Revenue increased approximately 4.6% from $10.79 billion in the prior quarter and 5.2% from $10.73 billion a year earlier.
-
EPS materially beat estimates
Diluted EPS was $2.48 versus the $1.99 consensus estimate, a $0.49 beat. EPS increased 24% from $2.00 in the prior quarter and 33% from $1.86 in the prior-year quarter.
-
Gross margin expanded
Gross margin expanded to 32.6%, up 100 basis points from 31.6% sequentially and 130 basis points from 31.3% year over year.
-
Operating leverage improved
Operating margin reached 6.81%, improving 91 basis points from 5.9% sequentially and 131 basis points from 5.5% year over year.
-
Full-year outlook raised
Fiscal 2026 EPS guidance increased to $7.80-$8.00 from $7.20-$7.45. Net sales growth guidance also increased to approximately 4.0%-4.3% from 3.7%-4.2%.
-
ERP implementation advanced
The first phase of the new ERP system, covering the consolidated financial reporting platform, went live in the second quarter of 2026; additional phases are expected during 2026 and 2027.
What to watch
-
Tariff benefit may not recur
Management indicated that tariff refunds supported the quarter’s profitability; gross margin was 32.6% and operating margin was 6.81%. If the refund benefit does not recur, reported margins could face pressure.
-
Multi-year ERP execution risk
The ERP implementation is scheduled to continue in phases throughout 2026 and 2027 after the consolidated financial reporting platform went live in the second quarter of 2026. Remaining human resources/payroll, procurement, and merchandise-payables phases create execution and internal-control risk.
-
Cash flow and investment demands
The company plans capital expenditures of $1.4-$1.5 billion and share repurchases of up to $700 million for fiscal 2026. Maintaining these commitments while operating cash flow declined could constrain liquidity flexibility.
Management's outlook
Fiscal 2026 EPS guidance was raised from $7.20-$7.45 to $7.80-$8.00. Net sales growth guidance was raised to approximately 4.0%-4.3% from 3.7%-4.2%, and same-store sales growth to 2.5%-2.9% from 2.2%-2.7%. Capital expenditures remain planned at $1.4-$1.5 billion, with share repurchases of up to $700 million.
Earlier filings 4
10-K · March 20, 2026
Dollar General reported totaled revenue of $42.72 billion for the fiscal year ending January 30, 2026, marking a 5.2% increase compared to the previous year. The company highlighted stable growth in consumables, which…
10-Q · December 4, 2025
Dollar General's Q3 results show a decline in revenue to $10.65B, down from $10.73B in Q2, but EPS of $1.28 exceeded estimates by 0.37. Management highlighted ongoing cost pressures that may impact margins despite the…
10-Q · August 28, 2025
Dollar General's Q2 results indicated a strong performance with revenue and EPS exceeding expectations. The company reported revenues of $10.73 billion and an EPS of $1.86, reflecting growth from the previous quarter…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.