Target Corp. on Wednesday posted first-quarter results that beat Wall Street’s expectations by 4 cents on a strong sales gain.
Target said net income jumped 17.5 percent to $651 million, or 75 cents a diluted share, from $554 million, or 63 cents, in the same year-ago quarter. Wall Street was expecting earnings per share of 71 cents. Total revenues gained 9.2 percent to $14 billion from $12.9 billion, which included a sales increase of 9 percent to $13.6 billion from $12.5 billion. Same-store sales increased 4.3 percent. Credit card revenues also helped to boost the company’s bottom line, which jumped 13 percent in the quarter to $418 million from $370 million.“Overall, we continued to increase our market share growing our total sales at 9 percent, a much more rapid pace than the growth rate of the overall U.S. market for similar or identical merchandising,” said Bob Ulrich, chairman and chief executive officer, in a conference call to Wall Street analysts.
In the same call, Gregg W. Steinhafel, president, said sales included “better-than-average performance in newborn-infant-toddler, electronics and nondiscretionary categories like health and beauty, pharmacy and consumables.”
Steinhafel said to sustain the discounter’s competitive advantage, Target is launching several initiatives in the second quarter. Earlier this month, the company debuted Patrick Robinson’s Greek-inspired fashion. In July, Target will be introducing Libertine by the British fashion duo Cindy Greene and Johnson Hartig. The retailer plans to continue to differentiate itself by increasing its private label brands in its food business.
Todd Slater of Lazard Capital Markets, in a research note Wednesday after the company posted results, wrote that his firm is “maintaining its 2007 earnings per share estimate of $3.68, above $3.60 guidance that was in line with consensus. We think guidance will be proven conservative, if the consumer remains healthy and credit delinquencies continue to improve.”
As one of the most recognizable models in the world, Christy Turlington Burns has an insider’s view of the fashion industry and the allegations of sexual harassment swirling around it. “I can say that harassment and mistreatment have always been widely known and tolerated in the industry. The industry is surrounded by predators who thrive on the constant rejection and loneliness so many of us have experiences at some point in our careers,” Turlington told WWD, along with her suggestions for how the modeling world should protect younger women and men. Read more on WWD.com. Link in bio. (📷: Tony Palmieri) #wwdnews
@asics America has tapped a new brand ambassador: famed DJ/record producer @steveaoki. This initiative is intended to set the tone for the new brand identity and philosophy and will include partnerships with influencers and in-store and off-line activations that will continue into next year. This is Asics’ most significant marketing effort in two decades, and is expected to attract younger consumers to the brand. #wwdfashion
24-year-old Jean Prounis is redefining the rules of jewelry. Formerly a studio assistant to Jemima Kirke and a design apprentice at Ghuran, she focuses on handcrafted subtleties and ancient goldsmithing techniques. “There was a really sterile feel in the environment and I wanted to have jewelry with character that shapes how you wear it everyday,” Prounis said. Each piece is hand made in New York, either by Prounis or three other jewelers in the district. #wwdfashion
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Amid the Harvey Weinstein controversy, there’s another sector that’s being put under the spotlight for sexual abuse: the modeling industry. While rumors about abuse and sexual harassment of female and male models — and the photographers, agents and others who perpetrated it — have circulated within the fashion world for years, model @cameronrussell started posting stories from models on Instagram last week about abusive situations they’ve encountered — from sexual harassment and molestation to attempted rape. Over 75 have weighed in so far. Read more on WWD.com. Link in bio. #wwdnews
To celebrate its 16th anniversary, @dylanscandybar tapped designers and celebrities to create mosaics out of candy. The mosaics will be auctioned off to support the philanthropic cause of each participant’s choice. Pictured here is the mural created by @aliceandolivia's Stacey Bendet. For a first look at some of the other artwork being unveiled tonight, go to WWD.com. #wwdeye
The annual Veuve Clicquot Polo Classic in Pacific Palisades this weekend drew Kate Hudson, Tracee Ellis Ross, Laura Dern and more. See pictures of the star-studded event on WWD.com. (📷: @chelsealaurenla) #wwdeye
In his new book “Hollywood Royale,” Andy Warhol’s Protégé Matthew Rolston celebrates the Eighties revival of Hollywood glamour. Featuring more than 100 portraits taken by Rolston from 1977 to 1993, the book contains photos of icons like Michael Jackson, Cyndi Lauper, and @drewbarrymore, pictured here in 1991. “Hollywood Royale,” out today, will be accompanied by an exhibition opening at Los Angeles’ Fahey/Klein Gallery on March 1. #wwdeye