By Colin Kellaher

Target posted fiscal fourth-quarter sales and earnings that surpassed Wall Street's expectations, but the retailer's current year sales forecast fell short of views.

Target on Tuesday reported earnings of $1.1 billion, or $2.41 a share, for the quarter ended Feb. 1, down from $1.38 billion, or $2.98 a share, a year earlier but ahead of the $2.26 a share that analysts polled by FactSet, on average, were expecting.

Sales fell 3.1% to $30.92 billion but topped the $30.78 billion Wall Street was looking for, while comparable sales rose 1.5%, in line with analyst expectations.

The Minneapolis retailer said it expects earnings of $8.80 to $9.80 a share for the current fiscal year, bracketing the $9.27 a share analysts had penciled in.

However, Target said it expects sales for the year to rise only about 1%, implying sales of around $107.63 billion, with comparable sales for the year roughly flat. Wall Street is expecting sales of more than $109 billion this year, with a 1.6% rise in comparable sales.

Target also warned that it expects to see meaningful year-over-year profit pressure in the current quarter relative to the rest of the year due to ongoing consumer uncertainty, a small decline in February sales, tariff uncertainty and the expected timing of certain costs.

Write to Colin Kellaher at colin.kellaher@wsj.com

(END) Dow Jones Newswires

March 04, 2025 06:30 ET (11:30 GMT)

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