Kohl’s Corporation (NYSE: KSS) reported its financial results for the quarter ended May 2, 2020, on Tuesday before the bell. The bottom line was wider than the analysts expectations while the top line exceeded consensus estimates.
Kohl’s slipped to a loss in the first quarter of 2020 from a profit last year due to a 41% dip in the top-line. As part of the COVID-19 response, the company has taken actions to preserve financial liquidity and financial flexibility. This includes decreased planned capital expenditures by about $500 million, suspended share repurchase program, and suspended regular quarterly dividend beginning in Q2 of 2020.
The company has taken swift and aggressive actions in response to the COVID-19 pandemic, which resulted in positive operating cash flow. Kohl’s has significantly increased financial flexibility during the quarter, ending with $2 billion in cash.