Kohl's Future In Jeopardy

Posted: May 14 2015, 8:34am CDT | by , in News | Latest Business News

 

This story may contain affiliate links.

Kohl's Future in Jeopardy
Photo Credit: Getty Images

Don't Miss: This How to find Fingerlings in Stock

The retail giant has been steadily losing sales for the last few months.

Though there seems to be a Kohl's in just about every shopping center, the company reported they had weak quarterly sales. After that announcement, shares of the company fell by nearly 10%, digging them into an even deeper hole. The department store retail chain reported sales on Thursday morning of $4.12 billion, up from $4.07 billion the previous quarter, but missing the estimate for $4.19 billion.

The company reported first quarter diluted earnings per share of $0.63, beating the expectation for $0.55 according to Bloomberg. This is still not a great trend for the company, especially with retailers like Target and TJ Maxx having strong sales in the last few months.

CEO Kevin Mansell said, "Sales were modestly below our original expectations for the quarter, but accelerated in the March/April combined period after a weak February. We are very pleased with our earnings results, with a more balanced promotional calendar driving merchandise margin combined with strong expense control."

Kohl's opened two new stores in the quarter, and now has 1,164 locations in 49 states. This is behind where the company wanted to be by 2015, but they are still showing growth.

The stock fell to around $67.55 before the market open. It's up 22% year-to-date and 36% over the past 12 months. This may be due, in part, to the rumors that the Kardashian line that is about to be pulled from Sears is moving to Kohl's in the coming months. There has been no confirmation of that, but much speculation as to whether Target or Kohl's would be picking up the line.

On Wednesday, JCPenney also reported weak sales at stores open for more than one year. It reported a loss of $167 million, or 55 cents per share, in the first quarter. Overall, retail is still strong going into the summer season, and many stores are hiring seasonal help.

Holiday Gift Guides and Deals

Get your Holiday gifting inspired by Best Toy Gifts with High STEM Value and the Top 10 toy gifts under $10 if you are on budget. The most popular Holiday 2017 toy list include Fingerlings, Crate Creatures and more. Don't miss the new Holiday deals on Amazon Devices, including $29.99 Fire tablet.

This story may contain affiliate links.

This free App Solves You Holiday Shopping Problem


Download the free Tracker app now to get in-stock alerts on Fingerling, Luvabella, SNES Classic and more.

Latest News

Comments

The Author

<a href="/latest_stories/all/all/46" rel="author">Noel Diem</a>
Noel passion is to write about geek culture.

 

 

Advertisement

comments powered by Disqus