(Reuters) – Department store chain Kohl’s (NYSE:) on Thursday cut its full-year sales and profit forecast as weaker consumer demand for its clothing and footwear outweighed gains from deeper discounts and a strong brand mix, sending its shares down 15 % premarket. .
Faced with resuming student loan payments, dwindling pandemic-era savings and rising interest rates, American consumers are prioritizing essential purchases over non-essential purchases.
The retailer forecasts net sales in fiscal 2024 will fall 2% to 4%, compared with previous expectations of a 1% decline and 1% growth.
Kohl’s now expects full-year earnings per share to be between $1.25 and $1.85, down from a previous forecast of $2.10 to $2.70.