Kohl's Net Drops 3.8 Percent in Q2
MENOMONEE FALLS, Wis.-Although sales headed in a mostly positive direction, Kohl's finished its fiscal second quarter with a 3.8 percent decline in net income, to $231 million.
Net sales in the quarter, which ended on Aug. 3, gained 2 percent to $4.3 billion, including an uptick of 0.9 percent in same-store sales. Gross margin edged up three basis points to 39.1 percent. Selling, general and administrative expenses increased 2.6 percent in dollars and 13 basis points as a percentage of sales, to 23.3 percent.
Kevin Mansell, Kohl's chairman, president and CEO, said the company was "pleased" with its results for the quarter. "Sales improved significantly over the first quarter, and gross margin improved over last year," Mansell said. "Expenses were well managed, and we ended the quarter with inventory per store up mid-single digits while funding our e-commerce growth."