Kohl's (NYSE: KSS) third quarter earnings were weaker-than-expected due to a drop in same-store sales, the retailer reported today, Nov. 14.
The company disclosed net income for the third quarter of $177 million, or $0.81 per share, down 18 percent from $215 million, or $0.91 per share, in the same quarter last year.
Net sales for the quarter declined 1 percent to $4.44 billion from $4.49 billion a year ago, falling short of analysts' predictions of $4.55 billion.
Same-store sales decreased 1.6 percent, compared to an increase of 1.1 percent in the year-ago period.
The weaker-than-predicted numbers are a source of concern for Kohl's as it heads into the all-important holiday shopping season. Promotions are already expected to be at a maximum this year, as retailers scramble for sales in a holiday shopping season that's six days shorter than last year's. Kohl's CEO Kevin Mansell said in a statement that the company thinks it is "well-positioned from a merchandise content and inventory perspective to gain market share" as it enters the holiday shopping season.
For fiscal 2013, Kohl's lowered its outlook to a range of $4.08 to $4.23 per share from the prior range of $4.15 to $4.35 per share. Analysts predict the company to report earnings of $4.23 per share for the year.
As a result of the earnings report, shares of Kohl's fell to 8.26 percent to $53.45 in pre-market trading Thursday.
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