Kohl's 10-Q: Debt, Dividends, and Financial Snapshot

TL;DR

Kohl's 10-Q shows debt levels and Q4 dividend plans. Keep an eye on cash flow.

AI Summary

Kohl's Corporation filed a 10-Q for the period ending November 2, 2024. The filing details financial information, including unsecured debt and revolving credit facilities as of November 2, 2024. It also mentions subsequent events, such as the Q4 2024 cash dividends declared on November 13, 2024.

Why It Matters

This filing provides investors with a look into Kohl's financial health, including its debt obligations and dividend payouts, which can influence stock valuation and investor confidence.

Risk Assessment

Risk Level: medium — Retail sector performance can be volatile, and the filing may contain details about debt or operational challenges that could impact the company's financial stability.

Key Numbers

• N/A — Total Revenue (Specific revenue figures are not detailed in the provided snippet.)
• N/A — Net Income (Specific net income figures are not detailed in the provided snippet.)
• N/A — Debt Outstanding (While debt is mentioned, specific dollar amounts are not provided in the snippet.)

Key Players & Entities

• KOHLS Corp (company) — Filer
• 2024-11-02 (date) — Reporting period end date
• 2024-12-05 (date) — Filing date
• 2024-11-13 (date) — Date of Q4 2024 cash dividends declaration

FAQ

Key Financial Figures

• $0.0 — vember 29, 2024 Common Stock, Par Value $0.0 1 per Share, 111,317,504 shar es outsta
• $3.5 b — include: Net sales decreased 8.8%, to $3.5 billion, with comparable sales down 9.3%.
• $1.3 billion — ve ("SG&A") expenses decreased 5.1%, to $1.3 billion. As a percentage of total revenue, SG&A
• $98 million — year-over-year. Operating income was $98 million compared to $157 million in the prior y
• $157 million — ting income was $98 million compared to $157 million in the prior year. As a percentage of t
• $22 m — points year-over-year. Net income was $22 million, or $0.20 per diluted share. This
• $0.20 — -year. Net income was $22 million, or $0.20 per diluted share. This compares to net
• $59 m — d share. This compares to net income of $59 million, or $0.53 per diluted share in th
• $0.53 — mpares to net income of $59 million, or $0.53 per diluted share in the prior year.
• $4.1 b — hare in the prior year. Inventory was $4.1 billion, a decrease of 3% to last year.
• $195 million — ear. Operating cash flow was a use of $195 million. 11 Table of Contents Our Strateg
• $1.20 — ted earnings per share: In the range of $1.20 to $1.50 Capital expenditures: Approx
• $1.50 — ngs per share: In the range of $1.20 to $1.50 Capital expenditures: Approximately $
• $500 m — 0 Capital expenditures: Approximately $500 million, including expansion of Sephora p
• $0.50 — vidend on the Company's common stock of $0.50 per share. The dividend is payable Dece

Filing Documents

• kss-20241102.htm (10-Q) — 838KB
• kss-ex31_1.htm (EX-31.1) — 16KB
• kss-ex31_2.htm (EX-31.2) — 16KB
• kss-ex32_1.htm (EX-32.1) — 9KB
• kss-ex32_2.htm (EX-32.2) — 9KB
• img74299556_0.jpg (GRAPHIC) — 51KB
• 0000950170-24-133680.txt ( ) — 3755KB
• kss-20241102.xsd (EX-101.SCH) — 612KB
• kss-20241102_htm.xml (XML) — 444KB

Financial Statements

Financial Statements: 3 Consolidated Balance Sheets 3 Consolidated Statements of Operations 4 Consolidated Statements of Changes in Shareholders' Equity 5 Consolidated Statements of Cash Flows 6

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 7 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 11 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 19 Item 4.

Controls and Procedures

Controls and Procedures 19 PART II OTHER INFORMATION 20 Item 1.

Legal Proceedings

Legal Proceedings 20 Item 1A.

Risk Factors

Risk Factors 20 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 20 Item 5. Other Information 20 Item 6. Exhibits 21

Signatures

Signatures 22 Table of Contents

FINANCI AL INFORMATION

PART I. FINANCI AL INFORMATION

Financi al Statements

Item 1. Financi al Statements KOHL'S CORPORATION CONSOLIDATED B ALANCE SHEETS (Dollars in Millions) November 2, 2024 February 3, 2024 October 28, 2023 Assets (Unaudited) (Audited) (Unaudited) Current assets: Cash and cash equivalents $ 174 $ 183 $ 190 Merchandise inventories 4,099 2,880 4,239 Other 344 347 291 Total current assets 4,617 3,410 4,720 Property and equipment, net 7,472 7,720 7,861 Operating leases 2,500 2,499 2,492 Other assets 465 380 394 Total assets $ 15,054 $ 14,009 $ 15,467 Liabilities and Shareholders' Equity Current liabilities: Accounts payable $ 1,873 $ 1,134 $ 1,918 Accrued liabilities 1,245 1,201 1,324 Borrowings under revolving credit facility 749 92 625 Current portion of: Long-term debt 353 — 111 Finance leases and financing obligations 80 83 84 Operating leases 93 102 94 Total current liabilities 4,393 2,612 4,156 Long-term debt 1,174 1,638 1,638 Finance leases and financing obligations 2,533 2,680 2,714 Operating leases 2,799 2,781 2,780 Deferred income taxes 78 107 107 Other long-term liabilities 273 298 321 Shareholders' equity: Common stock 2 2 2 Paid-in capital 3,554 3,528 3,514 Treasury stock, at cost ( 2,580 ) ( 2,571 ) ( 2,568 ) Retained earnings 2,828 2,934 2,803 Total shareholders' equity $ 3,804 $ 3,893 $ 3,751 Total liabilities and shareholders' equity $ 15,054 $ 14,009 $ 15,467 See accompanying Notes to Consolidated Financial Statements 3 Table of Contents KOHL'S CORPORATION CONSOLIDATED STAT EMENTS OF OPERATIONS (Unaudited) Three Months Ended Nine Months Ended (Dollars in Millions, Except per Share Data) November 2, 2024 October 28, 2023 November 2, 2024 October 28, 2023 Net sales $ 3,507 $ 3,843 $ 10,210 $ 10,876 Other revenue 203 211 614 644

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 1. Basis of Presentation The accompanying Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States ("U.S. GAAP") for interim financial information. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for fiscal year end Consolidated Financial Statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. For further information, refer to the Consolidated Financial Statements and related footnotes included in our Annual Report on Form 10-K for the fiscal year ended February 3, 2024 (Commission File No. 1-11084) as filed with the Securities and Exchange Commission ("SEC"). Due to the seasonality of the business of Kohl's Corporation (the "Company," "Kohl's," "we," "our," or "us"), results for any quarter are not necessarily indicative of the results that may be achieved for a full fiscal year. We operate as a single business unit. Recent Accounting Pronouncements Accounting Standards Issued and Adopted There are no recently adopted accounting pronouncements that had a material impact on our financial statements. Accounting Standards Issued but not yet Effective Standard Description Effect on our Financial Statements Segment Reporting (ASU 2023-07) Issued November 2023 Effective for Fiscal Years beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024 The amendments in this ASU improve reportable segment disclosure requirements, primarily through enhanced disclosures around significant segment expenses. We are evaluating the impact of the new required disclosures on our financial statements but do not expect the effect of the adoption to be material. Income Taxes (ASU 2023-09) Issued December 2023 Effective for Fiscal Ye

Management's Discussion and Analysis o f Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis o f Financial Condition and Results of Operations For purposes of the following discussion, unless noted, all references to "the quarter" and "the third quarter" are for the three fiscal months (13 weeks) ended November 2, 2024 or October 28, 2023. References to "the second quarter" are for the three fiscal months (13 weeks) ended August 3, 2024 or July 29, 2023. References to the "first half" are for the six fiscal months (26 weeks) ended August 3, 2024 or July 29, 2023. References to "year to date" are for the nine fiscal months (39 weeks) ended November 2, 2024 or October 28, 2023. This Form 10-Q contains "forward-looking statements" made within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "believes," "anticipates," "plans," "may," "intends," "will," "should," "expects," and similar expressions are intended to identify forward-looking statements. Forward-looking statements include the statements under management's discussion and analysis, financial and capital allocation outlook and may include comments about our future sales or financial performance and our plans, performance and other objectives, expectations or intentions, such as statements regarding our liquidity, debt service requirements, planned capital expenditures, future store initiatives, and adequacy of capital resources and reserves. Forward-looking statements are based on management's then-current views and assumptions and, as a result, are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected. Any such forward-looking statements are qualified by the important risk factors, described in Part I Item 1A of our 2023 Form 10-K, or disclosed from time to time in our filings with the SEC, that could cause actual results to differ materially from those predicted by the forward-looking statements. Forward-looking statements relate to the date initially made,

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View this 10-Q filing on SEC EDGAR