NEWS: Kohl's third-quarter net income dropped 18 percent as a key sales barometer declined.
Its performance missed analysts' expectations, and the department store operator lowered its full-year earnings forecast. The stock tumbled in premarket trading Thursday.
DETAILS: Kohl's Corp. said that sales at stores open at least a year fell 1.6 percent compared with a 1.1 percent gain a year ago. This figure is a closely-followed gauge of a retailer's health.
The chain also said that it plans to have Juicy Couture women's and girls' clothing, accessories and home items in its stores and online in the fall of 2014. Financial terms of the deal with Authentic Brands Group LLC were not disclosed. Kohl's will also be adding IZOD men's sportswear and dress clothing to its stores and online next fall through an agreement with PVH Corp.
The department store operator said that on Wednesday its board declared a quarterly dividend of 35 cents per share. The dividend will be paid on Dec. 24 to shareholders of record on Dec. 11.
NUMBERS: For the period ended Nov. 2, Kohl's earned $177 million, or 81 cents per share. A year earlier it earned $215 million, or 91 cents per share.
Revenue for the Menomonee Falls, Wis. company slipped 1 percent to $4.44 billion from $4.49 billion.
Analysts, on average, predicted earnings of 86 cents per share on revenue of $4.55 billion, according to a FactSet survey.
FUTURE: Kohl's now foresees full-year earnings of $4.08 to $4.23 per share. Its prior forecast was for $4.15 to $4.35 per share.
Wall Street expects earnings of $4.23 per share.
The company expects fourth-quarter earnings of $1.59 to $1.74 per share, with revenue down 2 percent to 4 percent. Analysts are looking for earnings of $1.69 per share.
STOCK: The shares dropped $5.41, or 9.3 percent, to $52.85 in premarket trading about 1 ½ hours before the market open.