Kohl's continues strong sales gains in 3Q
November 15, 2002,
Menomonee Falls, WI — Still building sales at a heady pace, all the while cutting costs and building margins, Kohl's Corp. put up a third-quarter profit of $133.4 million, up 29.9 percent from $175.8 million last year.
Outpacing most of its peers in the retail arena, Kohl's drove sales up by 21.8 percent, to $2.1 billion from $1.7 billion as it continued to open new doors across the country. The bottom-line barometer of same-store sales rose by 5.9 percent.
At the same time, margins held relatively steady, inching up by 10 basis points, to 34.7 percent from 34.6 percent. Gross margin dollars improved by 22.4 percent, to $746.9 million from $610.4 million.
Unlike others retailers, Kohl's doesn't seem to be hedging its bets about business going forward and keeps building inventory to keep pace with sales. Stockpiles rose by 22.1 percent, to $2.1 billion from $1.7 billion last year, running slightly ahead of the rate of sales growth, at 21.8 percent.