Kohl's reports 4Q EPS growth, issues guidance

MENOMONEE FALLS, Wis. Kohl’s reported that net income for its fiscal fourth quarter increased 28% to $431 million, or $1.40 per diluted share, compared with $336 million, or $1.10 per diluted share, a year ago. Net sales were $5.7 billion, an increase of 8.5% for the quarter. Comparable-store sales for the quarter increased 4.5%.

For the year, net income was $991 million, or $3.23 per diluted share, compared with $885 million, or $2.89 per diluted share, for fiscal 2008. Net sales increased 4.8% to $17.2 billion. Comparable-store sales increased 0.4% over the prior year.

Kevin Mansell, Kohl’s chairman, president and CEO, said, “We are pleased that we were able to gain market share in a difficult environment, achieving both total and comparable store sales increases for the year. We improved our merchandise margins significantly through strong inventory management and successful private and exclusive brand strategies. Expenses were well managed while improving the store experience for our customers. I am very proud of our 130,000 associates and the role they played in these results and want to thank them for their hard work, loyalty and dedication in delivering on our promise to " expect great things" from Kohl’s."

Based on assumptions of a total sales increase of 4% to 6% and a comparable-store sales increase of 1% to 3% for both the quarter and year, the company expects earnings per diluted share of 48 cents to 52 cents for the first quarter of 2010 and $3.40 to $3.63 for the year.