Trading On margin

Kohl’s Soars on CEO Exit, Preliminary Results By

© Reuters. Kohl’s (KSS) soars on CEO exit, preliminary results

By Senad Karaahmetovic

Shares of Kohl (NYSE:) are trading up about 10% pre-market on Tuesday after the retailer reported preliminary third-quarter results.

The company saw sales fall 6.9%, for the three months ending October 29, and net sales fell 7.2% from a year earlier. The operating margin is 4.7% while diluted earnings per share should be $0.82.

Third-quarter implied net sales would be $4.27 billion given Kohl’s reported sales of $4.6 billion for the same period last year. Current market consensus calls for EPS of $0.62 on sales of $4.07 billion.

Kohl plans to release its full third quarter 2022 financial results on Thursday, November 17.

Separately, Kohl’s announced that its CEO Michelle Gass plans to step down as CEO and member of the Kohl’s Board of Directors effective December 2, 2022. Tom Kingsbury will serve as interim CEO until a permanent successor is appointed.

Kingsbury said: “I am proud and honored to take on the role of interim CEO at such an important time for the company. Despite a challenging economic environment, Kohl’s is well positioned for long-term success thanks to its unique footprint of non-mall stores, omnichannel presence and loyal customer base.

Shares of Kohl are down about 45% year-to-date based on yesterday’s close.