Target Corp. beat fourth-quarter expectations amid a “very challenging environment” and said it plans to expand its owned-brands as consumers spending shifted away from discretionary items.
Chairman and CEO Brian Cornell said Target will focus on its long-term strategy while planning its business cautiously in the near term “to ensure we remain agile and responsive to the current operating environment.”
In a presentation at the company’s annual Financial Community Meeting in New York, Target said it plans to open about 20 stores in a variety of sizes in 2023, with many of the locations including new design elements that reflect the local community, sustainable features and experiences that highlight new brands, assortment and services.
In addition, Target is making investments in about 175 of its existing stores, ranging from full remodels to the addition of Ulta Beauty or Apple shop-in-shop experiences, or expanded capacity for same-day fulfilment service.
“Given value is absolutely top of mind right now, being able to deliver affordable joy differentiates us in the marketplace,” said Cornell. “And that’s a clear advantage in the near term and remains our focus over the long term.”
