Kohl’s beats Street with strong Q4 performance; same-sales up 3.7%

Menomonee Falls, Wis. -- Kohl's Corp. reported better-than-expected profit for its fourth-quarter profit, helped by strong holiday sales.



The retailer earned $369 million for the quarter ended Jan. 31, up from $334 million a year ago.



Total sales were up 3.9% to $6.34 billion from $6.1 billion in the year-ago period, also better than expected. Same-store sales increased 3.7%, a significant improvement after five straight quarters of decline.



"Our fourth quarter results showed significant improvement as many of our Greatness Agenda initiatives took hold,” said Kevin Mansell, Kohl’s chairman, president and CEO. “Our 3.7% increase in comparable sales was driven by both transactions per store - a key area of focus - and average transaction value. The sales strength was broad as all lines of business and all geographic regions reported higher sales. Our teams managed both expenses and inventories well, allowing us to exceed our previous earnings guidance."



For the year, Kohl’s posted a profit of $867 million, down from $889 million in 2013. Revenue totaled $19.02 billion.



Looking ahead, Kohl’s expected same-store sales to rise by 1.5%-2.5% for the year 2015.



Kohl’s ended the quarter with 1,162 stores in 49 states.