Dollar General

DG Q2 2026 Earnings

Reported Aug 28, 2025 at 6:55 AM ET · SEC Source

Q2 26 EPS

$1.86

BEAT +18.25%

Est. $1.57

Q2 26 Revenue

$10.73B

BEAT +0.45%

Est. $10.68B

vs S&P Since Q2 26

-8.1%

TRAILING MARKET

DG +3.0% vs S&P +11.1%

Market Reaction

Did DG Beat Earnings? Q2 2026 Results

Dollar General delivered a standout fiscal Q2 2026, posting diluted EPS of $1.86 against a consensus estimate of $1.57, an 18.25% beat that CEO Todd Vasos said "significantly exceeded" expectations, while net sales of $10.73 billion edged past foreca… Read more Dollar General delivered a standout fiscal Q2 2026, posting diluted EPS of $1.86 against a consensus estimate of $1.57, an 18.25% beat that CEO Todd Vasos said "significantly exceeded" expectations, while net sales of $10.73 billion edged past forecasts by 0.45% and grew 5.1% year over year. The quarter's strength was anchored by a meaningful improvement in gross margin, which expanded 137 basis points to 31.3% of net sales, driven primarily by lower shrink and higher inventory markups, even as SG&A pressures from incentive compensation and benefits costs partially tempered operating leverage. Same-store sales growth of 2.8%, fueled by a 1.5% rise in customer traffic and a 1.2% increase in average transaction size, underscored the durability of the discount retailer's core customer appeal. On the heels of a new Uber delivery partnership that broadens Dollar General's digital reach, the company also raised its full-year fiscal 2025 guidance, now targeting net sales growth of 4.3% to 4.8% and diluted EPS of $5.80 to $6.30, up from a prior range of $5.20 to $5.80.

Key Takeaways

  • Same-store sales increased 2.8%, driven by 1.5% increase in customer traffic and 1.2% increase in average transaction amount
  • Gross profit rate increased 137 basis points driven by lower shrink, higher inventory markups, and lower inventory damages
  • New store contributions to net sales growth
  • Interest expense decreased 15.3% to $57.7 million
  • Merchandise inventories declined 7.4% on an average per-store basis, reflecting improved inventory management
24/7 Wall St

DG YoY Financials

Q2 2026 vs Q2 2025, source: SEC Filings

24/7 Wall St

DG Revenue by Segment

With YoY comparisons, source: SEC Filings

Q4 25 Q3 26

“We are pleased with our strong second-quarter results, including earnings growth that significantly exceeded our expectations. Our improved execution, along with our progress advancing key initiatives, is resonating with both existing and new customers as we further enhance our value and convenience proposition. I want to thank our team for their ongoing commitment and dedication to fulfilling our mission of Serving Others every day in more than 20,000 stores across the country.”

— Todd Vasos, Q2 2026 Earnings Press Release