US: Kohl's Q4 earnings slide
- Q4 net profit slides 12%
- Sales down 3.8%
E-commerce expenses led to higher than expected costs for the quarter
US department store operator Kohl's has recorded a drop in fourth-quarter earnings on the back of costs related to its e-commerce business.
In the three months ended 1 February, net profit slid 12% to US$334m. Unanticipated expenses in servicing its e-commerce business led to higher than expected costs for the quarter.
Sales were down 3.8% to $6.1bn as a result of lower traffic and low levels of clearance merchandise.
Based on assumptions of total sales increases of 0.5% to 2.5% and comparable sales increases of 0 to 2%, the company said it expects full-year earnings per diluted share of $4.05 to $4.45.
UBS analyst Michael Binetti said the results were largely in line with consensus. The key NT driver for Kohl stock will be updates on progress in key strategic initiatives (reducing inventory/store by -MSD per store/year, increasing mix of national brands, reducing private brands, new e-commerce initiatives like store to door, non-credit card rewards program roll out).
"Like the peer group, we expect to hear about weather-hindered negative sales through Valentine's Day that have turned positive in late-February."
Inspection, testing and certification company SCS Global Services (SCS) has joined the Sustainable Apparel Coalition (SAC), and will promote its Higg Index sustainability measurement tool to help driv...
Lord Daniel Sportswear is implementing NGC's fashion ERP solution to help manage its growing apparel business....
- Why voters don’t want more global supply chains
- Denim and athleisure top picks for back-to-school
- What's 3D-printing doing for apparel and footwear?
- Labelling – The importance of the fine print
- Global supply chain trends at Sourcing at MAGIC
- Myanmar textile association to lift garment makers
- US Q2 in brief - The Buckle, Stein Mart
- H&M takes action over Myanmar child labour breach
- Vietnam garment industry calls for strategy update
- Nike and Apollo create supply chain partnership
- Too Many Standards
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Under Armour, Inc. (UA) - Financial and Strategic SWOT Analysis Review
- Central America strategic sourcing review - a focus on Guatemala, El Salvador and Honduras
- THE GAP, INC.: Retailing - Company Profile, SWOT & Financial Analysis