Kohl's Plans To Open New Smaller Format Stores, Grow Sephora Business

Kohl’s Corp KSS provided a long-term financial target update, expecting low-single digits percent sales growth and mid-to-high single digits percent EPS growth.
The company aims to grow the Sephora business to $2 billion through an expanded store rollout to 850 stores.
The company also plans to acquire new customers with Amazon.Com Inc AMZN Amazon Returns.
Kohl’s also seeks to enhance its portfolio. It plans to drive growth in Active and Casual categories, grow its dress business, improve Card Rewards earn to 7.5% every day, and introduce a co-branded credit card in 2023.
Kohl’s expects to open 100 new smaller format stores in the next four years.
The company also seeks to grow the digital business to $8 billion. The company plans to roll out self-serve buy online, pick up in-store to all stores in 2022.
It sees an operating cash flow of more than $5.5 billion and about $2.5 billion of free cash flow during 2022-2024.
As announced last week, the company increased its dividend by 100% and authorized a new $3 billion share repurchase program.
Price Action: KSS shares are trading lower by 5.40% at $55.60 on the last check Monday.