Kohl’s Corporation (NYSE:KSS) shares rose more than 12% intra-day Tuesday after the retailer reported fourth-quarter earnings that exceeded expectations, even as revenue missed estimates and the company issued cautious fiscal 2026 guidance.
The company posted adjusted earnings per share of $1.07 for the quarter, beating the consensus estimate of $0.85 by $0.22. Revenue came in at $5.0 billion, slightly below the $5.02 billion forecast and representing a 3.9% year-over-year decline. Comparable sales decreased 2.8% during the period.
For fiscal 2026, Kohl’s projected adjusted earnings per share between $1.00 and $1.60, with the midpoint of $1.30 below the analyst consensus of $1.38. The retailer expects both net sales and comparable sales to range from a 2% decline to flat growth during the year. Adjusted operating margin is forecast between 2.8% and 3.4%.
For fiscal 2025, Kohl’s reported net sales of $14.8 billion, representing a 4.0% decrease from the prior year, while comparable sales fell 3.1%. Adjusted diluted earnings per share were $1.62, compared with $1.50 in fiscal 2024.
Operating cash flow improved significantly, reaching $1.4 billion compared with $648 million in the previous fiscal year.
