Target (NYSE:TGT) beat analyst estimates by growing income 3.2 percent and revenue 2.8 percent in the third quarter. The more than 3 percent profit growth shows that the company is rebounding under new CEO Brian Cornell and is almost back to revenue levels seen before last holiday's data breach.
Comparable store sales increased 1.2 percent in the latest quarter, reported Bloomberg.
Target posted a difficult year due to the post-data breach repercussions and its money-losing expansion into Canada.
In March of 2013, Target announced the growth of its Canadian market. Before the year ended, the company had opened 124 stores and this year the growth continued and will end with a total of 133 stores.
"We're encouraged by the improving trend we've seen in our U.S. business throughout the year and our fourth-quarter plans are designed to sustain this momentum," Cornell told the Associated Press.
Cornell took the helm in August, leaving his executive post at PepsiCo. His goals have been to boost traffic in U.S. stores, and help fix the damage done by a rapid expansion into Canada. The company is in the midst of changing pricing and product assortment after complaints by consumers that prices were uncompetitively high. Not to mention, he is expected to build back consumer trust after last year's data breach.
Cornell also announced a strategy to concentrate on Target's core categories: apparel, home goods and toys. Former CEO Gregg Steinhafel, who was ousted in May, was focusing on groceries.
Target has already made several announcements regarding its aggressive holiday plans including opening its doors at 6 p.m. on Thanksgiving Day, free shipping and its first pop-up store. The store even introduced a line of charms, rings and ornaments that customers can customize online and are produced through 3D printing.
-See this Bloomberg article
-See this Associated Press article
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