by Christopher Freeburn | May 16, 2012 10:23 am
Discount retailer Target (NYSE:TGT) announced that earnings during the first quarter rose to $697 million, up from $689 million during the same period last year.
Adjusted EPS came in at $1.11, which beat analysts’ prediction of $1.01, according to Reuters.
Target shares rose more than 1% in early Wednesday trading.
The company said that sales increased to $16.54 billion for the quarter, up 6.1% from the prior year.
Including revenue from Target credit cards, total revenue moved up 5.9% to $16.87 billion.
Use of the company’s REDcard-branded credit and debit cards rose to 11.6% of store sales, compared to 7.6% last year.
Target increased its earnings guidance for the remainder of the year, forecasting adjusted EPS of between $4.60 and $4.80. GAAP EPS was estimated at between $4.10 to $4.30 for the year.
The company said it anticipated second-quarter adjusted EPS at between $1.04 and $1.14.
Same-store sales improved 5.3% during the first quarter. While that marked the chain’s strongest showing in recent years, it disappointed analysts who had predicted 5.6%.
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