Kohl’s Corp. (NYSE: KSS) reported its fiscal second-quarter financial results before the markets opened on Tuesday. The retailer said that it had a net loss of $0.25 per share and $3.41 billion in revenue, compared with consensus estimates that called for a net loss of $0.83 per share and $3.09 billion in revenue. In the same period of last year, Kohl’s posted $1.55 in earnings per share on revenue of $4.43 billion.
Management noted that the company made significant progress in rebuilding its business this quarter. So far Kohl’s has reopened all of its stores with new safety and operating procedures, accelerated digital growth, and showed great discipline in managing inventory and expenses meaningfully lower.
During the second quarter, net sales decreased 22.9% year over year, with a gross margin of 33.1%. The company did not mention comparable sales in the report, “due to store closures,” but we can only assume that it is as dismal as net sales.
Currently, the company has more than 1,100 stores in 49 states, and it is building out its omnichannel sales.
At the end of the quarter, cash and cash equivalents totaled $2.43 billion, up from $625 million at the end of the same period last year.
The company offered no guidance for the next quarter or full year, citing ongoing uncertainty from the pandemic. However, analysts are calling for a net loss of $0.39 per share and $3.92 billion in revenue for the fiscal third quarter. For the fiscal year, they expect to see a net loss of $3.47 per share and $15.37 billion in revenue.
Kohl’s stock traded down almost 12% early Tuesday, at $20.68 in a 52-week range of $10.89 to $59.28. The consensus price target is $21.35.