Target (TGT - Get Report) reported disappointing first-quarter sales, prompting the retailer to issue a lower full-year profit outlook than it previously forecast. First-quarter sales in the U.S. fell 0.6%, worse than the 0.03% decline analysts predicted, according to Thomson Reuters. Target earned $498 million, or 77 cents a share, in the quarter ended May 4, down from its profit of $697 million, or $1.04 a share, in the same quarter last year. Target attributed the weak results to the cooler-than-usual spring weather that weighed on shoppers' seasonal spending. The company now expects adjusted earnings of $4.70 to $4.90 a share for the full year, below the prior forecast of $4.85 to $5.05 that it issued in April. Analysts had expected earnings of $4.48 a share for the full year.
Drugmaker GlaxoSmithKline (GSK - Get Report) has received a development deal worth up to $200 million from the U.S. government to create new antibiotics. Per the deal, a first of its kind collaboration between the U.S. government and a drug company, GlaxoSmithKline will focus on developing several drugs that will combat antibiotic resistance and bioterrorism.