Thursday October 4th, 2012 - 12:37PM
For the five weeks ended September 29, Target Corp. posted a 2.1% comparable-store sales increase. Net retail sales gained 2.6% to $6.08 billion, the company reported.
Target barely missed a published analyst average comp estimate of 2.2%, according to the Reuter’s news service.
Food had the strongest September comp of Target departments, up in the high single-digit range. Health & Beauty experienced a mid single-digit comp increase while Home enjoyed a slight gain and Hardlines suffered a slight decrease, Target said in a sales call. Apparel comp decreased slightly in September as the retailer cycled the launch of Missoni for Target in September 2011, it contended.
"Target's comparable-store sales performance in September was in line with our guidance for the month," said Gregg Steinhafel, Target chairman, president and CEO. "We're pleased with our sales results through the first two months of the quarter and believe we remain on-track to attain our third-quarter sales and profit goals."
As it released September sales results, Target announced that beginning with its 2013 fiscal year, the company no longer would report monthly sales.
“This decision is based on discussions with many of our investors and is consistent with the practice of the vast majority of our retail peers,” said John Mulligan, Target executive vp and CFO. “We believe aligning our sales guidance and reporting with disclosure of our quarterly financial results will create a longer-term focus and provide greater understanding of our sales results in the context of our overall financial performance.”