NEW YORK (TheStreet) -- Kohl's Corporation (KSS), in its fourth-quarter update Thursday, said comparable-store sales for the January-ended quarter decreased 2%, though an increase of 0.8% over a combined November and December, the critically-important holiday shopping season for the retailer.
For the time being, investors concerned with how the retailer would fare over this holiday season's cutthroat, aggressively-competitive environment have been reassured. At competitor Sears (SHLD), for instance, its namesake stores suffered a 9.2% decrease in comparable-store sales through to Jan. 6.
However, the department store chain warned of significantly lower January sales, resulting from lower traffic and low levels of clearance merchandise.
Additionally, unexpected expenses servicing its e-commerce website increased costs over the quarter, though specifics were not detailed.
As a result of higher-than-anticipated costs and lower sales last month, the company revised its per-share earnings estimate to $1.53 from prior guidance of $1.59 to $1.74. Analysts surveyed by Thomson Reuters had expected earnings of $1.63.
For the full year, management anticipates net income of $4.03 a share, downwardly revised from previous guidance of $4.08 to $4.23. Analysts had forecast $4.12 a share.
The Wisconsin-based business will release fourth-quarter and full-year results on Feb. 27.
By mid-morning, shares were up 4.6% to $52.14.
TheStreet Ratings team rates KOHL'S CORP as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation: