Target Corporation (TGT)
April 05, 2012 12:00 am ET
Unknown Executive -
The comments on reported results in this summary relate to Target Corporation's sales for the 5-week period ended March 31, 2012, compared with the 5-week period ended April 2, 2011. These sales results are included in the table of our sales release issued on April 5, 2012.
For the fiscal March period, reported comparable store sales increased 7.3%. Just over half of this increase was driven by growth in average transaction size combined with an increase in comparable store transactions. Overall, comparable store sales in March 2011 decreased 5.5%. The current month sales release quotes Gregg Steinhafel, Chairman, President and Chief Executive Officer of Target Corporation, as saying, "March sales were well above our expectations, reflecting a healthy underlying trend combined with the benefit of an earlier Easter and favorable weather this year. We're now planning for a revised first quarter comparable store sales increase of 5% to 6%, reflecting a low to mid single-digit increase in our April comparable store sales."
As a result of stronger-than-expected sales through March, the company currently expects first quarter 2012 adjusted EPS of $1.04 to $1.10 compared with prior guidance of $0.97 to $1.07. The company expects GAAP EPS of $0.96 to $1.02 compared with prior guidance of $0.88 to $0.98. The $0.08 difference between the updated ranges represents the EPS impact in the first quarter of expected expenses related to the company's Canadian market entry, slightly offset by the favorable resolution of income tax uncertainties.