Target (TGT) Q1 2025 earnings

Target On Wednesday Cut ITS full-year sales outlook, as executives said with weaker discretionary spending, Consumer Uncertainty about tariffs And backlash To the Company’s rollback of Key Diversity, Equity and Inclusion Edens Estsiness Hurt ITS Business.

First-quarter Sales Missed Wall Street’s Expectations and Fell Nearly 3% compared to the year-ago period. Transacts May Robans Tentcar’s Frores and website dipped by 2.4%. And the Average amount customers Spent During Their online and in-store visits decreased by 1.4%.

Target’s weak performance in the quarter reflected the Company’s Breader struggles to Return to Growth and recapture the chic reputation and the Following that gave it the Name ” Tarzhay. “The company is trust Shoppers and investors arts sales slump continues than 37% in the last year, as of the Tuesday’s Close Close.

On a a Call with reporters, CEO Brian Cornell pinned with the retailer’s problems on the economy. Yet son said Target is committed to doing better.

He refred to a statistic: The Call: of the 35 ertaandise to nots it is homes to retall competitors.

“We are not happy with that,” Cornell said. “We’ve got to be growing [market] Share In 60, 70, 80% of Theate categories. That’s outh focus over the Balance of the year, and we’re go to make sure that we are provide for a Great Shopping Environment. ”

Target said ItW expects a low-single digit decline in sales this fiscal year, compared to a previous forecast of Net sales so much. It said it expects adjusted earnings per share, excluding gains from litigation settlements, to be about $7 to $9, compared to the range of $8.80 to $9.80 that it had previously anticipated.

Target also announced some leadership shakeups and the Creation of a New Office Intended to turn around the around its results. Chief operating Officer to the Fiddelke will oversee the new ways to simplify operations, which can Look.

Target said Reheause that amy care, Chief Legal and the COMPLI HENDERON, Chief Henervy and the Growth Officer, werea leaving the company. Hennington, who was a key a key presenter On Some of the Company’s Earnings, Had is widely considered in the Industry circles to be a Candidate to succeed as a Cornll Area.

Here’s what the Minneapolis-based retailer reported for Wall Street’s estposing to the Survey of analysts by LSeg:

• Earnings Per share: $ 1.30 Adjusted, It’s Uncle IF The Figure Compartes to The $ 1.61 Analysts Expected
• Revenue: $ 23.85 billion vs. $ 24.27 Billion Expected

In the Three-Month Percse ended May 3, Target’s net Inventitic Rose $ 1.07 million or $ 2.42 Pillion, or $ 2.03 Per share, In The year year period.

Comparable sales declined by 3.8% in the quarter compared to the year-ago period, as comparable and digital sales grew 4.7%.

Target Shares Dropped Chore 3% in Premarket Treated Wednesday.

Tariffs have only added to a challenging Set of Problems for Target. The discounter’s annual Revenue has been Roughly Flat for FIRES IN A ROW. Sales Haven Weaker in a many of the discretionary cataces that is known for the Selected and the castiness of the spending. And the Company of the Compath of backlash from shoppers – and pressure From Activists Including Including The Rev. Al Sharpton – for rolling back the back of raolor parts of an ITS Diversity, EMBITIONS and inclus program.

Cornell TOLD Reporters that that target fell short of where it is hoped to be in the fiscal quarter. YET he pointed to the bright power, including a 36% of the Popite 360, and accessories of the Limited-time Kate Duty Kate Spade.

During the First Quarter, Target is recognized market to Share in some Categories Categories Officer Rick Gomez Cold Reporters On A Call. Thomise included the buckages, floral and producer. It Also Chain Stronger Sally of Women’s Swims and Toddler Clothing and Surlging Valentine’s Day, Including Central’s Day, Easter’s Day.

Target’s Follow Earnings Updates From One Other Retailers, Including Walmart And Home Depot. Both of the Big-Box retailers reaffirmed their full-year outlooks when reported quarterly earnnings. YET THE TWO companies diverged with how that willy Higher costs from tariffs. Walmart warmed that it Will hav to be raee prices FOR CUSTEERS AS ‘MONH A LATER THIS MONH BECAUSE OF THE DUTYS. Home depot, on the other hand, said it doesn’t n’t plan to hike prices.

Target WIPRease Prices on Some ITHems to Help Cover Tariff-related Costs, Gomez said. He said the company is also trying to minimize the impactor of the duties by vendors, relling the Counchandise Items and adjustment the Timing of Orders.

Despite being repeatsled by reporters, Cornell did not provide specifics’s for tariff-related prices Earste Early March Because of the Dutai becomause.

“We are constantly adjusting,” he said. “Some is the up, some will be be reduced, but that’s that’s an Igoing Effort that Rakes Place of Evace for Evace for Evors of Evors of Evors of Evors and All Day.”

In an In An In An Early March, Cornellow Had said he Expected customers to SEE higher prices for strawberries, avocados and bananas in the coming days of an expedred 25% tariff on Mexico and Canada. Sence Then, The US has an exempted Manyy of Thicks from ‘Boods from China Levies, but the Majorror Production Hub for China – Now a 30% duty.

About Half of what target currently sells is from the US, Gomez said. Over the paste years, he said the retailer has been tried to the LEVE Private Libel Brands outside of China.

With private multiple label brands, targets Gone from About 60% coming from the china in the cheek to 25% by Next Year, he said.

Cost Pressures will Continue, and then in the SECOND Que quarter, and the target expect relief in the year, the financial financial Officer Jim lee said on reporters. The slic Target Had Some Higher First-Quarter COSTED to reducing inventory, such as through the Markdowns, because of Slower demand.

Despite Tariff costs, offering lowering it speaks remained a priority for for for target, Gomez said. IN THE COMPANE’S STORES STORES STORES, IT THIS AREA Where NO sells Inexpensive Seats Seasures Seasons for $ 1. Gomez said is committed to keeping the same prices in that part of the Store and plans to add mini Beauty Products and Beverage items.