PERTH: Wesfarmers has reported “marginally positive” sales growth for the 2009/10 financial year for department stores Target and Kmart, despite a challenging fourth quarter.
The retail operator reported that Target’s full year sales for the 2009/10 financial year were $3.8 billion across all product categories. This was up 0.9 per cent on the previous year, with comparable store sales declining by 0.9 per cent.
For the fourth quarter, total Target sales declined by 4.4 per cent to $872 million, while comparable store sales fell by 6.2 per cent.
Eight Target stores were refurbished in the fourth quarter, with one store closed and one new store opened.
For Kmart, the company reported total sales of $4 billion, up 0.4 per cent over the previous corresponding period. Comparable store sales declined by 0.1 per cent.
For the fourth quarter, total sales were up by 1.1 per cent to $914 million, with comparable store sales growth of 0.1 per cent.
Kmart spent the fourth quarter overhauling its store image and customer service, with 16 store upgrades completed in the period. It also restructured its product and pricing strategy to offer the lowest prices it could achieve on everyday goods. For more information on how this change impacts the Kmart apparel division, pick up a copy of Ragtrader’s August 13 issue.
TARGET: National discount retailer.
