Q4, FY 2011 Sales Up at Target
Target Corp. reported fiscal year 2011 sales of $68.5 billion, a 4.1 percent increase over the Minneapolis-based retailer’s sales in 2010.
Target credits this performance to a 3 percent increase in same-store sales and contributions from new stores. Likewise, Q4 U.S. sales rose 3.3 percent to $20.9 billion, versus $20.3 billion a year ago.
“Target generated strong financial performance in 2011, overcoming sluggish economic growth, restrained consumer spending and an intensely promotional holiday season,” said Gregg Steinhafel, Target’s chairman, president, and CEO. “For the full year, our U.S. businesses generated 14.3 percent growth in adjusted earnings per share, and we experienced our strongest growth in comparable-store sales since 2007.”
Q4 net earnings were $981 million, or $1.45 per share, and full-year net earnings were $2.9 billion, or $4.28 per share.
In Q4, the company repurchased approximately 3.1 million shares of its common stock at an average price of $52.35, for a total investment of $161 million. For the full year, the company acquired approximately 37.2 million shares of its common stock at an average price per share of $50.89, for a total investment of approximately $1.9 billion. Shares acquired in 2011 represent 5.3 percent of shares outstanding at the beginning of the fiscal year.
“As we look ahead to 2012, we’ll continue to focus on bringing our ‘Expect More. Pay Less’ brand promise to life for our guests, providing unique, well-designed merchandise while driving value and loyalty with initiatives like 5% Rewards and REDcard Free Shipping,” Steinhafel said. “In addition, we’ll continue to invest in our store, online and mobile channels, open our first CityTarget locations in July and prepare for the opening of our first Canadian Target stores in early 2013.”
Target Corp. operates 1,763 stores across the United States and plans to open its first stores in Canada in 2013.