Kohl’s Corporation (KSS) reported a 3.5% increase in total revenues to $4.2 billion for the first quarter of 2018. Comparable sales increased 3.6% during the quarter. Net income increased 14% to $75 million from the prior-year period. Diluted EPS rose 15% to $0.45. Adjusted net income improved 62% over last year to $107 million. Adjusted diluted EPS increased 65% to $0.64.
The company’s results beat market estimates for both revenue and earnings. Kohl’s has been improving margins through better inventory management, and the retailer has also entered into several partnerships. Kohl’s struck a partnership with Amazon to sell the latter’s smart home products in its stores. The most recent collaboration is with private company PopSugar for the sale of women’s apparel targeted at the millennial group.
On May 16, Kohl’s Board of Directors declared a quarterly cash dividend on the company’s common stock of $0.61 per share, payable on June 27, 2018, to shareholders of record on June 13, 2018.
Kohl’s raised its EPS guidance for the fiscal year 2018. The company now expects adjusted diluted EPS to be between $5.05 and $5.50. Including the loss on extinguishment of debt, diluted earnings is expected to be between $4.86 and $5.30 per share.