Kohl's Posts 5% Sales Decline in Q2

Kohl's (NYSE:KSS), a major U.S. department store chain, reported its financial results for Q2 fiscal 2025 on August 27, 2025. Despite ongoing declines in both net and comparable sales, the retailer delivered results that surpassed its own conservative forecasts. The quarter’s total revenue reached $3.55 billion, down from $3.73 billion in the prior year period (GAAP). Adjusted diluted EPS was $0.56, just below last year’s $0.59, while reported (GAAP) EPS surged to $1.35, reflecting a $129 million one-time legal settlement gain. Management modestly improved full-year earnings guidance, reflecting slightly firmer expectations for profitability, though it remains clear that revenue challenges persist. Overall, the quarter reflected disciplined cost and inventory management, but the core sales trend remained negative.Kohl’s operates as a value-oriented department store, offering a mix of private-label and national brands across apparel, footwear, home goods, and beauty. Its merchandise strategy centers on both exclusive house brands such as SO and Lauren Conrad, and partnerships like its in-store Sephora beauty shops. With over 1,000 stores and a growing e-commerce presence, Kohl’s aims to provide customers a broad and affordable assortment for everyday needs.Recently, the company's priorities have included raising the penetration of higher-margin proprietary brands, refining its product assortment, and tightly managing inventory levels. Efficient distribution and fulfillment, especially with its investments in retail and e-commerce centers, is also a critical operational focus. Maintaining a competitive product mix and adapting to shifts in consumer preferences have become key success factors as the retailer contends with fierce competition from both online and traditional peers.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool