Kohl's beats Q3 sales estimates, lowers full-year sales outlook
Overview
Kohl's fiscal Q3 net sales beat analyst expectations despite a 2.8% yr/yr decrease
Adjusted EPS for fiscal Q3 beats consensus, reflecting operational improvements
Company appoints Michael J. Bender as CEO, marking strategic leadership change
Outlook
Kohl's expects full-year 2025 net sales to decrease by 3.5% to 4%
Company anticipates full-year 2025 comparable sales to decline by 2.5% to 3%
Kohl's projects full-year 2025 adjusted diluted EPS between $1.25 and $1.45
Result Drivers
2025 INITIATIVES - Progress on 2025 initiatives contributed to Q3 results, per CEO Michael J. Bender
COST MANAGEMENT - SG&A expenses decreased 2.1% yr/yr, aiding operational improvements
GROSS MARGIN IMPROVEMENT - Gross margin increased by 51 basis points, supporting financial performance
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Net Sales | Beat | $3.41 bln | $3.32 bln (7 Analysts) |
Q3 Adjusted EPS | Beat | $0.10 | -$0.20 (13 Analysts) |
Q3 EPS |
| $0.07 |
|
Q3 Net Income |
| $8 mln |
|
Q3 Gross Margin |
| 39.60% |
|
Q3 EBIT |
| $73 mln |
|
Q3 Pretax Profit |
| -$2 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 8 "hold" and 6 "sell" or "strong sell"
The average consensus recommendation for the department stores peer group is "buy."
Wall Street's median 12-month price target for Kohls Corp is $14.50, about 8.5% below its November 24 closing price of $15.73
The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 24 three months ago
Press Release: ID:nBw88KhhYa
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.
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