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Feb 01

Kohl's Q4 2024 Earnings Report

Kohl's reported a decline in Q4 2024 sales and earnings.

Key Takeaways

Kohl's Q4 2024 net sales fell 9.4% to $5.4 billion, with comparable sales declining 6.7%. GAAP EPS was $0.43, while adjusted EPS stood at $0.95. Operating income dropped significantly to $126 million from $299 million in the prior year, reflecting margin pressures.

Net sales declined 9.4% to $5.4 billion.

Comparable sales fell 6.7% year-over-year.

Operating income decreased by 57.9% to $126 million.

Adjusted EPS of $0.95 compared to $1.67 last year.

Total Revenue
$5.4B
Previous year: $5.96B
-9.3%
EPS
$0.95
Previous year: $1.67
-43.1%
Comparable Sales Growth
-6.7%
Previous year: -6.6%
+1.5%
Number of Stores
1.1K
Previous year: 1.17K
-6.0%
Gross Profit
$1.7B
Previous year: $1.58B
+8.2%
Cash and Equivalents
$134M
Previous year: $153M
-12.4%
Free Cash Flow
$596M
Total Assets
$13.6B
Previous year: $14.3B
-5.5%

Kohl's

Kohl's

Forward Guidance

Kohl's expects sales to continue declining in FY 2025 but aims to stabilize profitability through cost control initiatives.

Positive Outlook

  • Focus on improving product assortment and pricing.
  • Expansion of loyalty program to enhance customer engagement.
  • Ongoing cost-cutting efforts to improve margins.
  • Inventory management improvements to optimize stock levels.
  • Dividend declared, maintaining shareholder returns.

Challenges Ahead

  • Expected sales decline of 5% to 7% in FY 2025.
  • Comparable sales projected to decrease between 4% and 6%.
  • Operating margin expected to remain under pressure.
  • Consumer spending headwinds may impact sales recovery.
  • Macroeconomic uncertainties continue to pose risks.