Kohl’s Corporation Reports Q2 2025 Financial Results

Kohl’s Corporation ( (KSS) ) has released its Q2 earnings. Here is a breakdown of the information Kohl’s Corporation presented to its investors.

Kohl’s Corporation is a leading omnichannel retailer in the United States, known for offering a wide range of brands and products through its extensive network of over 1,100 stores and online platforms. The company is committed to providing value and convenience to its customers while making a positive impact in the communities it serves.

In its second quarter fiscal 2025 earnings report, Kohl’s Corporation announced a decrease in net sales by 5.1% and a comparable sales drop of 4.2%. Despite these declines, the company managed to increase its gross margin by 28 basis points and reported a diluted earnings per share of $1.35, with an adjusted EPS of $0.56. The company also raised its full-year financial outlook, indicating a positive trajectory in its strategic initiatives.

Key financial highlights for the quarter include a reduction in selling, general, and administrative expenses by 4.1% to $1.2 billion, and a significant gain of $129 million from a legal settlement. Operating income saw a substantial increase to $279 million, up from $166 million in the previous year, while net income rose to $153 million from $66 million. The company also successfully reduced its inventory by 5% and decreased its borrowings under the revolving credit facility by $335 million year-over-year.

Looking ahead, Kohl’s management remains optimistic about the company’s performance for the rest of the fiscal year, despite a challenging economic environment. The company expects a decrease in net sales and comparable sales but aims to maintain an adjusted operating margin between 2.5% and 2.7%. With strategic initiatives in place, Kohl’s is focused on delivering continued improvement and value to its shareholders.