May 25 (Reuters) - Dollar Tree Inc, the biggest U.S. dollar-store chain operator, reported a 13.8 percent drop in quarterly profit, hurt by an impairment charge.
The company’s net income fell to $200.5 million, or 85 cents per share, in the first quarter ended April 29, from $232.7 million, or 98 cents per share, a year earlier.
The company said it recorded an impairment charge of $50.9 million due to non-payment by Dollar Express for stores bought from Dollar Tree.
The prior year quarter also included a one-time tax rate benefit of 9 cents per share related to state tax planning, the company said on Thursday.
However, net sales rose 4 percent to $5.29 billion. (Reporting by Sruthi Ramakrishnan in Bengaluru; Editing by Sriraj Kalluvila)