Kohl's Faces Financial Turmoil as Sales and Stock Plummet

The retailer's Q4 2024 earnings report reveals sharp declines in revenue and profits, prompting a strategic overhaul to regain customer trust.

Kohl's reported a 6.5% year-over-year decline in comparable sales for Q4 2024, with operating income dropping by 57%.
The company's stock has lost nearly 30% of its value this week, with analysts lowering price targets to as low as $8 per share.
CEO Ashley Buchanan acknowledged missteps, including confusing coupon policies and neglecting core loyal customers, and outlined plans to simplify pricing and promotions.
Kohl's forecasts a 4% to 6% decline in comparable sales for 2025, citing inflation and constrained consumer spending as significant challenges.
In response to financial pressures, Kohl's has laid off 10% of its corporate workforce and plans to close 27 underperforming stores by April 2025.