Kohl's raises Q4 EPS outlook on strong holiday sales

Kohl’s Corporation has reported that its total and comparable sales for November and December 2017 combined increased 6.9 percent over the same period last year. Based on stronger than expected holiday sales and expectations for fiscal January, the company now expects its fiscal 2017 diluted earnings per share to be 4.10 dollars to 4.20 dollars versus its previous guidance of 3.72 dollars to 3.92 dollars.

Commenting on the holiday period trading, Kevin Mansell, Kohl's Chairman, CEO and President, said in a press release: “We are very pleased with our holiday period sales, which were consistently strong through November and December. All lines of business and all regions reported positive comp sales. As expected, growth in digital demand accelerated significantly in the holiday period from the year-to-date trend. In addition, we experienced positive sales in our stores driven by stronger traffic.”

Excluding the company's previously disclosed fourth quarter tax settlement of 30 million dollars, diluted earnings per share is expected to be 3.98 dollars to 4.08 dollars, compared to its prior guidance of 3.60 dollars to 3.80 dollars. The company continues to expect its fiscal 2017 gross margin rate to be higher than the prior year and its SG&A, including the 53rd week, to increase at the high end of its prior guidance of 0.5 percent – 2 percent.

Picture credit:Kohl's media gallery