Target Corp reported September same-store sales rose 1.2%. Results were
below plan, hurt by weakness in apparel, and the discount giant reduced
earnings expectations for the full year. Net sales increased 6.2% to
$5.19 billion from $4.89 billion.
“Our comparable store sales growth in September was below our planned
range, particularly in apparel,” said Bob Ulrich, chairman and CEO of
Target Corporation. “As a result, we now believe that our full year EPS
will be below $3.60.”
Target's prior guidance envisioned roughly equal likelihood of earning
slightly more or slightly less than $3.60 for the full year 2007. All
EPS estimates refer to diluted earnings per share excluding the impact,
if any, from a potential sale of our credit card receivables resulting
from the current review announced in September 2007.
In the year-to-date period, comps rose 4.9%. Net revenues gained 9.1% to $37.7 billion.
Target, based in Minneapolis, currently operates 1,591 Target stores in 47 states.
