Target Q2 2023 Results
following +2.6% in Q2 2022
Comparable
Sales
Our team responded nimbly to challenging sales trends, driving robust profit growth and reinforcing the durability of our operations.
Staying focused on the fundamentals
following +9.0% in Q2 2022
-10.5%
Digital Comparable Sales
$1.80
GAAP EPS and Adjusted EPS*
*Adjusted EPS is a non-GAAP financial measure most directly comparable to GAAP EPS. Adjusted EPS is reconciled to GAAP EPS in our Q2 2022 earnings release posted on our investor relations website.
**Statements in this document about our future investments in strategy and our Target Forward goals are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. Please see our SEC filings for risks and uncertainties that could cause Target actions to differ materially from what was expected on the date of this document, November 16, 2022.
following +1.3% in Q2 2022
-4.3%
-5.4%
Store
Comparable Sales
operating income margin rate compared to 1.2% in Q2 2022
We delighted our guests with new and exclusive offerings and easy and affordable solutions.
Delivering newness, ease, convenience and value
*Adjusted EPS is a non-GAAP financial measure most directly comparable to GAAP EPS. Adjusted EPS is reconciled to GAAP EPS in our Q2 2023 earnings release posted on our investor relations website.
Statements in this document about our future investments and long-term prospects are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Please see our Q2 2023 earnings release and our SEC filings for risks and uncertainties that could cause Target’s results to differ materially from what was expected on the date of this document, August 16, 2023.
Our multi-category portfolio offered inspiring options and exceptional value, with strength
in food & beverage and beauty.
Continued strength in seasonal assortments like Mother’s Day and Fourth of July
100+ Good & Gather summer items
11 of ~20 new stores planned in 2023
51 of the ~175 stores undergoing full remodels or other enhancements in 2023 are guest-ready
Our Miami sortation center, the 10th in our supply chain
Our first Target Last Mile Delivery extension facility in Smyrna, Georgia
358% higher than Q2 2022
4.8
%
We doubled down on four retail fundamentals that drive guest loyalty.
Being reliably in stock
We’re on track to invest $4 billion to $5 billion in the business this year through new and remodeled stores, supply chain and digital capabilities and more.
Investing in long-term growth and profitability
Showcasing affordability across the business
Leveraging our stores’ proximity to guests
Ensuring exceptional guest experiences
We made progress in Q2, including:
In-stock levels improved from Q1 and FY22
Inventory levels
are 17% lower than last year
Compelling price points messaged across the assortment
Newness across our assortment in Q2, including:
The Barbie Movie exclusives
Houston White summer collection
Open Story luggage collection
Tabitha Brown outdoor + summer essentials
Taylor Swift exclusive vinyl
growth in
same-day services
~4
%
Drive Up grew ~7% as returns scaled nationwide. Starbucks rolls out
in Q3.
Early engagement in Back to School and Back to College
More ways to save, like school supplies starting at 25 cents and
$5 lunch boxes and graphic tees
20% Off Teacher and College Student Appreciation Events are back
new loyalty members enrolled during our Target Circle Week event, >3.5 times more than the average week
>500
K
More newness on the way in Q3 with owned brand launches, exclusive partnerships and designer collections including:
Fall flavors from Good & Gather and Favorite Day
ROWING BLAZERS LTO COLLECTION
Future Collective with REESE BLUSTEIN
NOW OPEN
