Kohl’s Raises Full Year Guidance on 1st Quarter Gains

Kohl'sMenomonee Falls, WI—Kohl’s Corporation today said shoppers appeared “a little more confident” after it posted a 45.3% jump in first quarter profit helped by a double-digit sales hike.

The mid-tier department store also raised its full-year earnings guidance to $3.57 to $3.75 per share, up from earlier forecasts of $3.40 to $3.63 per share.

“Consumers appeared to be a little more confident in their spending, but remain focused on value and ways to make their dollars go farther,” noted chairman, president and CEO Kevin Mansell. “We will continue to be flexible in our sales and inventory planning as well as expense management in order to react to changes in consumer demand.”

Net income for the three months to May 1 jumped to $199 million or $0.64 per share, from $137 million or $0.45 per share, a year ago. Net sales were rose 10.9% to $4.0 billion, and same-store sales were up 7.4%. Comparable sales climbed 7.4%. Gross margin widened to 38.1% from 37.6%.

Kohl’s, with 1,067 stores in 49 states, said it plans to open an additional 21 stores later this year.

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