Kohl's Q2: summer home struggled, basics did well
August 20, 2003-- Home Textiles Today,
Menomonee Falls, WI — After aggressively ridding itself of excess clearance in the second quarter, Kohl's is "pleased" with the results, said Kevin Mansell, president. Though clearance may have affected profitability, he added, it was necessary to be comfortable with the overall inventory levels and content as well as be well positioned for the balance of the year.
For the quarter, summer home was one of the categories that "struggled," while basics in home was one of the better performers. "Apparel and home continue to do well," v added during the company's second quarter conference call, and they are doing better then last year's levels. Comp-store traffic counts were also up, and transactions in July increased 7.5 percent.
For the fall season, inventories are based on a 3.0 percent sales increase. At the end of the year, Mansell believed that inventories would be up only in the single digits, compared to last year, when they were heavier than they should have been.