Kohl's stock plummets 20% after massive earnings miss
Kohl's stock plummets 20% after massive earnings miss
Kohl's Earnings Plunge Triggers Stock Drop
Significant Earnings Miss
Kohl's reported a substantial quarterly loss, missing Wall Street's expectations significantly with a loss of 24 cents per share compared to an anticipated slight profit.
Reduced Financial Outlook
The company has lowered its full-year forecast, expecting a decrease in net sales by 2% to 4%, and adjusted its earnings per share projection downwards.
Strength in Partnerships
Despite the overall downturn, Kohl's highlighted positive developments in its partnerships, particularly with Sephora and the newly announced collaboration with Babies R Us.
What was Kohl's reported loss per share for the fiscal first quarter, and how did it compare to Wall Street's expectations?
Kohl's reported a loss of 24 cents per share for the fiscal first quarter, which was significantly below Wall Street's expectations. Analysts surveyed by LSEG had anticipated a slight profit of 4 cents per share. This unexpected loss contrasts sharply with the forecast, highlighting a disappointing performance for the company in that quarter.
What specific partnerships has Kohl's established to enhance its in-store offerings, and what are their expected contributions to the business?
Kohl's has established several key partnerships to enhance its in-store offerings. One notable partnership is with Sephora, which has resulted in the creation of Sephora shop-in-shop locations within Kohl's stores. This partnership has exceeded expectations, contributing to a 90% surge in total beauty sales. The Sephora shops offer a range of beauty products, and their prominent location within Kohl's stores has provided maximum exposure for Sephora's brand partners. Another partnership is with Babies R Us, which has led to the addition of Babies R Us in-store outposts in about 200 Kohl's locations. These partnerships are expected to contribute significantly to Kohl's growth initiatives and enhance the overall customer experience.