The number of Dollar Trees and Family Dollar stores across the country is getting cut after the markdown merchants announced Wednesday that nearly 1,000 stores would be closing after a disappointing 2023.
According to a press release from the company, numbers from the previous year’s performance report outlined wilting sales and foot traffic.
“We plan on closing approximately 600 Family Dollar stores in the first half of fiscal 2024. Additionally, approximately 370 Family Dollar and 30 Dollar Tree stores will close over the next several years at the end of each store’s current lease term,” the release said.
With closures impending, here’s what we know.
![The U.S. Food and Drug Administration issued a warning letter to Dollar Tree stores after the retailer allegedly received and sold tainted over-the-counter drugs. [Rene Ray De La Cruz, Daily Press]](https://www.statesman.com/gcdn/authoring/2019/11/22/NVIC/ghows-VV-97f4f240-4992-3ad4-e053-0100007ff9af-513d32fa.jpeg?width=578&height=503&fit=crop&format=pjpg&auto=webp)
How many Dollar Trees are in Texas?
Texas is home to 709 Dollar Trees across the country. Right now, the company operates around 8,202 stores according to data website ScrapeHero. This means that Texas alone almost accounts for 10% of all Dollar Trees in the company’s portfolio.
Many of these Dollar Trees can be found in major Texas cities, which is a common practice for the company. These three Texas cities are each in the top 10 for most Dollar Trees:
- San Antonio – 54 locations (2nd on the list)
- Houston – 51 locations (3rd on the list)
- El Paso – 31 locations (8th on the list)
At the time of writing, Dollar Tree has given no indication if a specific city, state or region will be more affected by these closures.
Why is Dollar Tree closing so many stores?
In a press release reflecting on the company’s floundering finances, Dollar Tree said that it had been conducting a “comprehensive store portfolio optimization review.”
From that review, the company concluded that it needed to close hundreds of underperforming stores in an attempt to maximize profitability and adapt to the needs of the markets it monitored during the review.
The release also spotlighted a $7.85 loss per share in the last year, and mentioned the potential of raising prices in 2024.
Beck Andrew Salgado covers trending topics in the Austin business ecosystem for the American-Statesman. To share additional tips or insights with Salgado, email Bsalgado@gannett.com.
First appeared on www.statesman.com