- Kohl's on Tuesday reported a full-year comparable sales increase of 1.7% and a fourth quarter comparable sales increase of 1%, while total revenue decreased by 3.3% to end the quarter at $6.8 billion, according to a company press release.
- The company reported a net income decrease of 42% to $272 million for the quarter and a 7% decrease for the year, ending at $801 million, while gross margin for the quarter remained the same year over year at 33.5%. Non-GAAP income increased by 32% for the year to $927 million and increased for the quarter 17% to $366 million.
- The retailer also said it will close four underperforming stores in April, but will open four new smaller format stores later in the year.
Kohl's is continuing on a path toward recovery and turnaround.
There have been several initiatives along the way. At the start of the year, Kohl's announced that the company was moving into health and wellness by partnering with WW (previously known as Weight Watchers) for an in-store studio in their Chicago location. The company will also offer WW Healthy Kitchen products beginning this summer at select Kohl's stores and at Kohls.com.
According to analysts at Jane Hali & Associates, Kohl's is improving its assortment with both private labels and national brands and continues to enhance in-store and mobile experiences for shoppers. "As we continue to shop [Kohl's] across the country we see continued improvements. The retailer thinks outside the box and aligns with consumer interest," the analysts said in a statement.
In addition to the store closures, which reflect the company's recent moves to reduce its footprint and shrink store space, the retailer will also consolidate call center locations and offer a voluntary retirement program to qualified hourly associates.
"With a clear focus on driving traffic and operating with discipline, the Company is delivering sales growth while also improving profitability," CEO Michelle Gass said in a statement. "We are financially strong and our overall health in the business is positioning us well for continued success."