Kohl’s Corporation (NYSE:KSS) surged 12.7% on Thursday after delivering a third-quarter performance that topped expectations on both revenue and earnings, prompting the retailer to boost its full-year guidance.
For the period ended November 1, 2025, the company reported adjusted EPS of $0.10, far better than the $0.18 loss analysts anticipated. Revenue reached $3.41 billion, above the $3.33 billion consensus despite a 2.9% year-over-year decline. Comparable sales fell 1.7%, outperforming expectations for a 3.89% drop.
Kohl’s posted a 39.6% gross margin, up 51 basis points from last year and above projections for 39.4%. Inventory stood at $3.90 billion, down 5% year over year.
“We are pleased with Kohl’s third quarter results, marking a third consecutive quarter of delivering top-line and bottom-line performance ahead of our expectations,” said Michael J. Bender, newly appointed CEO after serving as interim chief since May 2025. “These results are a direct reflection of the progress we are making against our 2025 initiatives, reinforcing our confidence as we continue to move in the right direction.”
Following the strong quarter, the company raised its full-year 2025 EPS outlook to $1.25–$1.45, significantly above the $0.72 analyst forecast. Kohl’s now expects net sales to decline 3.5%–4%, with comparable sales falling 2.5%–3%.
Bender added, “We are focused on building on this momentum, as we remain committed to delivering quality products, great value, and a frictionless experience to our customers in an uncertain macroeconomic environment.”