Kmart Australia has reported first quarter sales of $1.361 million, jumping 9% on the prior corresponding period, with comparable store sales increasing 4.9%.
Sister department store Target registered a 6.4% decrease in both first quarter sales on the prior corresponding period and comparable store sales.
Target's first quarter sales were $602 million.
Kmart MD Ian Bailey said the sales performance achieved in the first quarter was driven by strong unit and transaction growth.
Bailey also said customers were responding well to the company's investment and improvement in the product offering, particularly core ranges in home and kids.
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“Maintaining price leadership in a market that is becoming increasingly competitive remains core to Kmart’s strategy and is expected to support the continued growth of the business."
Wesfarmers department stores CEO Guy Russo said the drop in sales for Target was due to the continued rest of product, price and range.
“During the quarter, the significant transition to deliver quality and fashion at low prices continued.
“Merchandise disciplines were further progressed, delivering SKU reductions, lower levels of inventory and increased levels of direct sourcing."