) posted total sales and same-store sales results for the month
of December compared with the prior-year period.
Kohl's comparable store sales increased 3.4% for the
five-weeks ended December 29, 2012 versus a same-store sales
decline of 0.1% in the five-week month ended December 31, 2011.
Kohl's total sales increased 4.0% in the month of December 2012
to $3.4 billion compared to 1.7% growth to $3.2 billion in the
year-ago month. Total sales for the period increased attributable
to strong performance in the Western region, particularly in the
Quarter-to-date, sales upped 0.7% versus a decline of 0.7%,
while comparable sales increased 0.1% versus a decline of 2.5% in
the prior-year period.
Though December comparable store sales increased, it was lower
than the company's expectations due to late sales in the holiday
season, which forced Kohl's to give more than expected discounts
to its customers.
Moreover, Kohl's has reduced its earnings expectation for the
fourth quarter and fiscal year 2012 due to weak quarter-to-date
performance. The company now expects earnings in the range of
$1.60 to $1.62 for the fourth quarter and $4.11 to $4.13 for
fiscal 2012 versus its previous guidance of $2.00 to $2.08 for
the fourth quarter and $4.52 to $4.60 for fiscal 2012.
The Zacks Consensus Estimate for the fourth quarter decreased
37 cents or 18.7% to $1.61 per share, while the Zacks Consensus
Estimate for fiscal 2012 decreased 34 cents or 7.6% to $4.13 per
share as most of the estimates were revised lower over the last
Kohl's holds a Zacks #5 Rank (Strong Sell) due to reduced
guidance as well as lowered estimates. On the other hand, Kohl's
Ross Stores Inc.
) carries a Zacks #2 (Buy). Ross Stores reported
better-than-expected same-store sales growth of 6% for the five
weeks ended December 29, 2012, compared with 9% in the prior-year
period ended December 31, 2011. Total sales for the five-week
period also climbed 11% to $1,276 million compared with $1,149
million in the year-ago period.
KOHLS CORP (KSS): Free Stock Analysis Report
ROSS STORES (ROST): Free Stock Analysis
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