Kohl’s (NYSE:KSS) on Thursday said sales rose 16% in the fiscal third quarter, as shoppers turned to its stores and website for clothes and makeup.
Kohl’s is one of the retailers that was hit hard by the pandemic, as Americans spent time at home and had few reasons to refresh their wardrobe or buy new shoes.
As consumers get out and about again, it is trying to draw them in with a wider assortment of clothing, including activewear, and a new partnership with Sephora. It has opened about 200 Sephora shops inside of Kohl’s stores and plans to add more.
CEO Michelle Gass said the moves the retailer is making are paying off.
"All of the pieces of our strategy are coming together and we remain incredibly confident in the future of our business," she said in a news release.
In the third quarter ended Oct. 30, net income rose to $243 million, or $1.65 per share, from a net loss of $12 million, or 8 cents per share, a year earlier. The results topped the 64 cents per share expected by analysts surveyed by Refinitiv.
Revenue climbed to $4.6 billion from $3.98 billion a year ago, outpacing estimates of $4.27 billion.
Same-store sales, which track sales online and at Kohl’s stores open for at least 12 months, grew 14.7% in the third quarter, topping the 12.5% gain that analysts expected, according to StreetAccount.
KSS shares began Thursday up $3.36, or 5.9%, to $59.84.
