Kohl’s Corporation reported a strong start to the back-to-school selling season and its partnership to accept Amazon returns inside stores helped the retailer beat Wall Street earnings expectations during the second quarter ended August 3.
Highlights of the quarter include:
- Comparable sales decrease 2.9 percent
- Diluted earnings per share of $1.51
- Adjusted diluted earnings per share of $1.55, ahead of Wall Street’s consensus estimate of $1.53.
- Affirms adjusted annual diluted earnings per share( guidance of $5.15 to $5.45
Adjusted earnings exclude impairments, store closing and other costs in 2019 and Loss on extinguishment of debt in 2018.
Michelle Gass, Kohl’s chief executive officer, said, “We are pleased to report that our business strengthened as we progressed through the second quarter. Comparable sales were better than the first quarter and improved during the period, turning positive during the last six weeks of the second quarter with 1% growth. This positive trend has continued into August driven by a successful start to the back-to-school season. We are confident that our upcoming brand launches, program expansions, and increased traffic from the Amazon returns program will incrementally contribute to our performance during the balance of the year and beyond.”
On August 13, 2019, Kohl’s Board of Directors declared a quarterly cash dividend on the company’s common stock of $0.67 per share. The dividend is payable September 25, 2019, to shareholders of record at the close of business on September 11, 2019.
The company affirms its adjusted annual earnings per diluted share guidance of $5.15 to $5.45, which excludes $0.26 per diluted share related to Impairments, store closing and other costs recognized in the first six months of 2019.
Chart courtesy Kohl’s Corp.