Here’s Why Target Will Stop Reporting Monthly Sales
Target (NYSE:TGT) announced in a press release that it will stop reporting monthly sales figures. According to CFO John Mulligan, the move is “consistent with the practice of the vast majority of our retail peers.”
In the company’s press release, Mulligan continues, “We believe aligning our sales guidance and reporting with disclosure of our quarterly financial results will create a longer-term focus and provide greater understanding of our sales results in the context of our overall financial performance.”
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Target saw a 2.6 percent increase in net retail sales for the five weeks ended September 29 compared to the period last year, and a 4.5 increase this year to date.
Meanwhile, sales numbers for retailers are coming out across the board on October 4.
The TJX Companies (NYSE:TJX) posted a 6 percent gain for same-store sales in September, beating expectations of about 4.5 percent. Limited Brands (NYSE:LTD) posted a 5 percent sales increase in the five weeks ended September 29, matching the five weeks ended October 1, 2011, although net sales dropped to $773.6 million from $818.6 million. Costco (NASDAQ:COST) is also up in morning trading on October 4 with strong sales numbers for last month, growing 6 percent and beating the 5.7 percent expected of it.
The National Retail Federation expects November and December sales to increase 4.1 percent to $586.1 billion. “This is the most optimistic forecast NRF has released since the recession,” said NRF president and CEO Matthew Shay in a press release. “In spite of the uncertainties that exist in our economy and among consumers, we believe we’ll see solid holiday sales growth this year.”
Looking toward the future, Shay said, “Online retail has been a bright spot for years and we don’t expect that trend to change anytime soon, especially with the growth in mobile.”