Global Finance News
19 Nov 2025, 14:32
Target posts lower Q3 sales but stronger digital growth; maintains Q4 outlook
Target reported third-quarter net sales of 25.3 billion dollars, down 1.5% from 2024, as discretionary categories remained soft. Digital comparable sales rose 2.4%, led by more than 35% growth in same-day delivery via Target Circle 360. Food & Beverage and Hardlines delivered growth, while non-merchandise revenue jumped nearly 18% on strength in Roundel, membership and marketplace services.
GAAP EPS came in at 1.51 dollars versus 1.85 dollars last year. Adjusted EPS, which excludes severance and asset-related charges, was 1.78 dollars.
Ahead of the holiday season, Target is offering more than 20,000 new items — half exclusive to the retailer — deeply discounted Thanksgiving meals, lower everyday prices on thousands of essentials, and expanded next-day shipping coverage.
Management kept its guidance for a low-single-digit sales decline in Q4. Full-year GAAP EPS is expected between 7.70 and 8.70 dollars, and adjusted EPS between 7.00 and 8.00 dollars.
Comparable sales fell 2.7% in Q3, with store sales down 3.8% and digital up 2.4%. Operating income dropped 18.9% to 0.9 billion dollars including non-recurring items; excluding them, operating income was 1.1 billion dollars, with an adjusted margin rate of 4.4%.
Target reported third-quarter net sales of 25.3 billion dollars, down 1.5% from 2024, as discretionary categories remained soft. Digital comparable sales rose 2.4%, led by more than 35% growth in same-day delivery via Target Circle 360. Food & Beverage and Hardlines delivered growth, while non-merchandise revenue jumped nearly 18% on strength in Roundel, membership and marketplace services.
GAAP EPS came in at 1.51 dollars versus 1.85 dollars last year. Adjusted EPS, which excludes severance and asset-related charges, was 1.78 dollars.
Ahead of the holiday season, Target is offering more than 20,000 new items — half exclusive to the retailer — deeply discounted Thanksgiving meals, lower everyday prices on thousands of essentials, and expanded next-day shipping coverage.
Management kept its guidance for a low-single-digit sales decline in Q4. Full-year GAAP EPS is expected between 7.70 and 8.70 dollars, and adjusted EPS between 7.00 and 8.00 dollars.
Comparable sales fell 2.7% in Q3, with store sales down 3.8% and digital up 2.4%. Operating income dropped 18.9% to 0.9 billion dollars including non-recurring items; excluding them, operating income was 1.1 billion dollars, with an adjusted margin rate of 4.4%.
