Feb. sales down, but forecast was accurate

Being able to accurately forecast monthly sales may not seem like much, but it is quite an accomplishment in a down economy, where no one seems to know where the bottom is. That proved to be the case last month at Target as the company’s reported 4.1% decline in same-store sales was dead on with guidance provided to the financial community a month earlier.

“February sales were in line with our planned range for the month, as our sales results continue to reflect the significant economic challenges facing our guests.” said Target chairman, president and CEO Gregg Steinhafel.

The outlook for March same-store sales is for a decline in the high-single digits due to the fact that Easter falls in April this year compared to March last year. As a result, April sales are likely to be stronger and the company’s forecast calls for flat same-store sales in April. For the March and April period combined the outlook is for a wide range of potential outcomes centered on a mid-single digit decline.