On Wednesday, Target Corp or TGT.N released reports on the first US same-store sales increase within four quarters, as well as profit for the quarter that has reached beyond their expectations. However, it mentioned that is going to review the Canadian business’ loss-making’s future when the holiday season is over.
The fourth-largest retailer in the US’ shares increased 5.4%, reaching $71.15 after results manifested.
Target mentioned that consumers had good responses to its promotions for Halloween and back-to-school. Also, it has reported sales that are strong on beauty and health items, which contributed in counteracting the trend involving apparel sales that are weaker because of the early autumn weather that is unusually warm that had damaged the results of other retailers.
The same-store sales in the US increase 1.2%, which is double the expected rate of analysts included in the Consensus Matrix-conducted poll. The earnings for every share reached 55 cents, which is a one percent increase from the past year. This beat the 47-cent consensus, based on information from Thomson Reuters.
The same-store sales projected by Target Corp to increase two percent during the fourth quarter appears to be the reflection of consumer sentiment which is truly improving nowadays.