Balance Sheet: Liabilities and Stockholders’ Equity

The balance sheet provides creditors, investors, and analysts with information on company resources (assets) and its sources of capital (its equity and liabilities). It normally also provides information about the future earnings capacity of a company assets as well as an indication of cash flows that may come from receivables and inventories.

Liabilities represents obligations of a company arising from past events, the settlement of which is expected to result in an outflow of economic benefits from the entity.

Dollar Tree Inc., consolidated balance sheet: liabilities and stockholders’ equity

US$ in thousands

	Jan 29, 2022	Jan 30, 2021	Feb 1, 2020	Feb 2, 2019	Feb 3, 2018	Jan 28, 2017
Current portion of long-term debt	—)	—)	250,000)	—)	915,900)	152,100)
Current portion of operating lease liabilities	1,407,800)	1,348,200)	1,279,300)	—)	—)	—)
Accounts payable	1,884,200)	1,480,500)	1,336,500)	1,416,400)	1,174,800)	1,119,600)
Income taxes payable	82,600)	86,300)	62,700)	60,000)	31,500)	90,000)
Taxes, other than income taxes	313,500)	305,000)	183,300)	159,500)	176,600)	163,100)
Compensation and benefits	123,800)	162,800)	102,800)	122,100)	155,200)	194,900)
Insurance	121,500)	115,400)	112,000)	106,000)	105,400)	101,700)
Accrued construction costs	68,300)	44,900)	51,100)	43,200)	45,000)	30,300)
Accrued supplies	27,400)	25,200)	—)	—)	—)	—)
Other	147,500)	162,000)	168,800)	188,500)	254,700)	254,200)
Other current liabilities	802,000)	815,300)	618,000)	619,300)	736,900)	744,200)
Current liabilities	4,176,600)	3,730,300)	3,546,500)	2,095,700)	2,859,100)	2,105,900)
Long-term debt, net, excluding current portion	3,417,000)	3,226,200)	3,522,200)	4,265,300)	4,762,100)	6,169,700)
Operating lease liabilities, long-term	5,145,500)	5,065,500)	4,979,500)	—)	—)	—)
Unfavorable lease rights, net of accumulated amortization	—)	—)	—)	78,800)	100,000)	124,000)
Deferred income taxes, net	987,200)	1,013,500)	984,700)	973,200)	985,200)	1,458,900)
Income taxes payable, long-term	20,900)	22,600)	28,900)	35,400)	43,800)	71,200)
Other liabilities	256,100)	352,600)	258,000)	409,900)	400,300)	382,400)
Noncurrent liabilities	9,826,700)	9,680,400)	9,773,300)	5,762,600)	6,291,400)	8,206,200)
Total liabilities	14,003,300)	13,410,700)	13,319,800)	7,858,300)	9,150,500)	10,312,100)
Common stock, par value $0.01	2,200)	2,300)	2,400)	2,400)	2,400)	2,400)
Additional paid-in capital	1,243,900)	2,138,500)	2,454,400)	2,602,700)	2,545,300)	2,472,100)
Accumulated other comprehensive loss	(35,200)	(35,200)	(39,800)	(38,300)	(32,300)	(37,600)
Retained earnings	6,507,600)	5,179,700)	3,837,800)	3,076,100)	4,666,900)	2,952,600)
Shareholders’ equity	7,718,500)	7,285,300)	6,254,800)	5,642,900)	7,182,300)	5,389,500)
Total liabilities and shareholders’ equity	21,721,800)	20,696,000)	19,574,600)	13,501,200)	16,332,800)	15,701,600)

Based on: 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03), 10-K (reporting date: 2017-01-28).

The analysis of the financial data over the periods from January 2017 to January 2022 reveals several notable trends in the liabilities and shareholders’ equity of the company.

Current Liabilities: The current liabilities exhibit fluctuations with an overall increasing tendency. Starting at approximately $2.11 billion in early 2017, current liabilities peaked around $3.75 billion by early 2021, before rising further to about $4.18 billion by early 2022. The current portion of long-term debt was significant in 2018 but is absent in later periods, while the current portion of operating lease liabilities appears only from 2020 onward, increasing steadily each year. Accounts payable show a consistent upward trend over the entire timeframe, indicating increased obligations to suppliers. Other current liabilities display a decreasing trend from 2017 to 2019, then rise sharply in 2021 and slightly decline in 2022.
Long-Term Liabilities: Long-term debt, net of current portions, generally decreased from about $6.17 billion in 2017 to approximately $3.23 billion in 2021, then experienced a small increase in 2022. Operating lease liabilities, reported starting 2020, show a steady increase, rising from roughly $5.0 billion to over $5.1 billion by 2022. Other long-term liabilities such as deferred income taxes and income taxes payable long-term have remained relatively stable, with a gradual decrease in long-term income taxes payable over time. The category labeled as other liabilities displays fluctuations, dropping sharply in 2020, spiking in 2021, and declining again in 2022.
Total Liabilities: Total liabilities vary significantly, decreasing from $10.31 billion in 2017 to $7.86 billion in 2019, then sharply increasing to $13.32 billion in 2020, and continuing to increase to around $14.0 billion by 2022. This increase aligns temporally with the emergence and growth of operating lease liabilities, suggesting a possible change in accounting treatment or increased lease-based financing.
Shareholders’ Equity: Shareholders’ equity increased steadily from about $5.39 billion in 2017 to $7.72 billion in 2022. Notably, retained earnings have shown strong growth, nearly doubling from $2.95 billion to $6.51 billion over the period, indicating accumulated profitability or retained income. Additional paid-in capital rose until 2019, then declined markedly, while common stock value remained nearly constant with a slight decrease in later years. Accumulated other comprehensive loss remained a minor, stable negative figure throughout.
Additional Observations: Several categories such as accrued supplies are reported only in the latest years and show moderate increases. Compensation and benefits liabilities declined from 2017 through 2020, before increasing in 2021 and decreasing again in 2022. Taxes other than income taxes increased substantially, more than doubling from approximately $163 million in 2017 to over $313 million by 2022, indicating growing tax obligations outside income taxes.

In summary, the data indicates a strategic shift toward operating lease financing starting in 2020, reflected by the introduction and growth of lease liabilities. Total liabilities experienced a marked increase corresponding with this shift. Meanwhile, shareholders’ equity strengthened consistently, supported primarily by growing retained earnings. The patterns in accounts payable and other taxes suggest increased operational scale and tax commitments. The decrease in long-term debt suggests a reduction in traditional debt financing over time.

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Dollar Tree Inc. (NASDAQ:DLTR)

Balance Sheet: Liabilities and Stockholders’ Equity