Kohl’s Corp. on Tuesday reported fourth quarter net sales of $5 billion, a 3.9% decrease compared to the same period last year.
For the full 2025 fiscal year, the retailer reported net sales of $14.8 billion, a 4% decline. Comparable sales for the year fell 3.1%.
Net income for the fourth quarter reached $125 million, or $1.07 per diluted share. This compares to $48 million, or $0.43 per diluted share, in the prior year.
“We are ending 2025 in a stronger position than we started, with important work still ahead of us,” Michael J. Bender, Kohl’s chief executive officer, said in a statement. “Over the past year, our efforts have been focused on resetting our foundation. This focus is intended to stabilize the business and strengthen our operational ability to build for a stronger future.”
Bender noted that while the fourth quarter topline was softer than expected, the company managed the business with discipline and improved earnings.
Kohl’s reported that inventory at the end of the year was $2.7 billion, representing a 7% decrease year over year. Cash flow provided by operating activities for the fiscal year was $1.4 billion, up from $648 million in 2024.
The company also recognized a gain of $129 million during the fiscal year from a credit card interchange fee lawsuit settlement.
Looking ahead to 2026, Kohl’s expects net sales and comparable sales to range from a 2% decrease to flat. The company introduced a fiscal year 2026 outlook for adjusted diluted earnings per share in the range of $1.00 to $1.60.
“In 2026, we are committed to further strengthening our foundation by addressing operational opportunities, building on our strengths, and modernizing our processes,” Bender said.
The Kohl’s board of directors declared a quarterly cash dividend of $0.125 per share, payable on April 1 to shareholders of record as of March 18.
