Kohl's Corporation Reports Financial Results
Fourth quarter comparable sales flat
Fourth quarter diluted earnings per share of $1.72
Fourth quarter adjusted diluted earnings per share(1) of $1.99
MENOMONEE FALLS, Wis.--(BUSINESS WIRE)—March 3, 2020-- Kohl’s Corporation (NYSE:KSS) today reported results for the quarter and year ended February 1, 2020.
Michelle Gass, Kohl's chief executive officer, said, "While 2019 was a year in which our financial results did not meet our expectations, it was also a year of innovation and investment that further strengthened Kohl’s differentiation in the market. We are encouraged by the acceleration of traffic and new customer acquisition in our stores and online driven by the unprecedented level of new brands and partnerships we launched during the year. I want to thank all of our associates for their ongoing commitment to Kohl’s and I am confident that we will build on our strengths in 2020 to stabilize and position the business for future growth.”
Dividend
On February 26, 2020, Kohl's Board of Directors declared a quarterly cash dividend on the Company's common stock of $0.704 per share, a 5% increase over its prior dividend. The dividend is payable April 1, 2020 to shareholders of record at the close of business on March 18, 2020.
Initial 2020 Earnings Guidance
The Company expects earnings per diluted share of $4.20 to $4.60 for fiscal 2020. This guidance is based on the following assumptions, but excludes any non-recurring charges:
Comparable sales change of (1%) to 1%
Gross margin as a percentage of sales decrease of 10 to 20 basis points as compared to 2019
SG&A dollars increase of 1% to 2% over 2019
Depreciation expense of $940 million
Interest expense of $210 million
Effective tax rate of 24% to 25%
Fourth Quarter 2019 Earnings Conference Call
Kohl's will host its quarterly earnings conference call at 9:00 am ET on March 3, 2020. A webcast of the conference call will be available via the Company's web site at http://corporate.kohls.com/investors/events-and-presentations, both live and after the call.
Kohl’s Investor Day 2020
On March 16, 2020, the Company will host an investor day in New York City. The event will begin at 12:30 pm ET, with presentations to commence at 1:00 pm ET. Due to limited capacity, in-person attendance will be by invitation only. A webcast of the presentations and question and answer session will be available at http://corporate.kohls.com/investors/events-and-presentations.
Cautionary Statement Regarding Forward-Looking Information
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including 2020 earnings guidance. Kohl's intends forward-looking terminology such as “believes,” “expects,” “may,” “will,” “should,” “anticipates,” “plans,” or similar expressions to identify forward-looking statements. Such statements are subject to certain risks and uncertainties, which could cause Kohl's actual results to differ materially from those anticipated by the forward-looking statements. These risks and uncertainties include, but are not limited to, those described in Item 1A in Kohl's Annual Report on Form 10-K, which is expressly incorporated herein by reference, and other factors as may periodically be described in Kohl's filings with the SEC. Forward-looking statements relate to the date initially made, and Kohl’s undertakes no obligation to update them.
About Kohl's
Kohl’s (NYSE: KSS) is a leading omnichannel retailer with more than 1,100 stores in 49 states. With a commitment to inspiring and empowering families to lead fulfilled lives, Kohl’s offers amazing national and exclusive brands, incredible savings and an easy shopping experience in our stores, online at Kohls.com and on Kohl's mobile app. Since its founding, Kohl's has given more than $750 million to support communities nationwide, with a focus on family health and wellness. For a list of store locations or to shop online, visit Kohls.com. For more information about Kohl’s impact in the community or how to join our winning team, visit Corporate.Kohls.com or follow @KohlsNews on Twitter.
