Target reports 2Q EPS increase

MINNEAPOLIS Target reported net earnings of $634 million for the second quarter ended Aug. 2, compared with $686 million in the second quarter ended Aug. 4, 2007. Earnings per share in the second quarter increased 2.4% to 82 cents per diluted share from 80 cents per diluted share in the same period a year ago.

“Our second quarter earnings per share modestly exceeded our expectations despite continued soft sales trends,” said Gregg Steinhafel, president and chief executive officer. “We continue to focus on driving our financial results through superior execution and discipline and by continuing to delight our guests with differentiated merchandise at a compelling value.” 

The company reported that sales at its retail segment grew 5.7% in the second quarter to $15 billion in 2008 from $14.2 billion in 2007, due to the contribution from new store expansion slightly offset by a 0.4% decline in comparable-store sales. Retail segment earnings before interest expense and income taxes (EBIT) were $1.1 billion in the second quarter of 2008, up 7.2% from $1 billion in 2007.