Target Corporation Reports Third Quarter Earnings

Rhea-AI Summary

Target (NYSE: TGT) reported third quarter 2025 results on November 19, 2025: net sales $25.3B (down 1.5% yoy) with comparable sales -2.7% and digital comps +2.4%. Third quarter GAAP EPS was $1.51 vs $1.85 a year ago; Adjusted EPS was $1.78. Operating income was $0.9B (including non-recurring items) and operating margin was 3.8% (4.4% excluding non-recurring items).

Non-merchandise sales grew 17.7%. Company reaffirmed Q4 expectation of a low-single digit sales decline and set full-year GAAP EPS guidance of $7.70–$8.70 and Adjusted EPS of $7.00–$8.00.

Positive

• Non-merchandise sales +17.7% in Q3 2025
• Digital comparable sales +2.4% in Q3 2025
• Same-day delivery growth >35% powered by Target Circle 360
• Expanded next-day shipping reach to >50% of U.S. population
• Returned capital: $518M dividends and $152M share repurchases

Negative

• Net sales down 1.5% year-over-year in Q3 2025
• Comparable sales decreased 2.7% in Q3 2025
• GAAP EPS fell to $1.51 from $1.85 year-over-year
• Operating income declined 18.9% to $0.9B in Q3 2025
• ROIC down to 13.4% from 15.9% (trailing twelve months)

Insights

Retail Strategy Analyst

Target shows mixed execution: category wins and digital growth, but overall sales and comps remain pressured.

Target grew digital comparable sales 2.4% and non‑merchandise revenue 17.7%, driven by same‑day delivery and Roundel, while merchandise sales fell and comparable sales declined 2.7%.

The business relies on merchandising and fulfillment improvements to restore momentum; risks include continued discretionary softness and the need to convert promotional assortments into sustained loyalty.

Watch holiday sell‑through and the impact of the expanded next‑day shipping offering over the next 6–12 months, plus comparable sales and merchandising margin trends in the fourth quarter.

Financial Metrics Analyst

Profitability and EPS contracted despite margin stability after excluding non‑recurring items.

GAAP EPS fell to $1.51 from $1.85, while Adjusted EPS was $1.78; operating income decreased 18.9% to $0.9 billion including one‑time items.

Key dependencies are fourth‑quarter sales guidance of a low‑single‑digit decline and full‑year Adjusted EPS range of $7.00 to $8.00; monitor operating margin, inventory levels, and share repurchase pace through fiscal year end.

MINNEAPOLIS, Nov. 19, 2025 /PRNewswire/ -- Target Corporation (NYSE: TGT) today announced its third quarter 2025 financial results.

• Third quarter net sales were $25.3 billion, 1.5 percent lower than 2024.
  • Digital comparable sales grew 2.4 percent, led by more than 35% growth in same-day delivery powered by Target Circle 360. 
  • Food & Beverage and Hardlines ("Fun 101") delivered comparable sales growth in the quarter, offset by continued softness across the broader discretionary portfolio.
  • Non-merchandise sales grew nearly 18 percent with Roundel, membership and marketplace revenues all growing double digits.
• Third quarter GAAP EPS was $1.51 compared with $1.85 last year. Adjusted EPS ¹ , which excludes non-recurring severance and asset-related charges, was $1.78.
• To deliver newness, convenience and value this holiday season, Target will offer²:
  • Over 20,000 new items — twice as many as the prior year — with more than half exclusive to Target.
  • Thanksgiving meals for 4 under $20, with turkey at just 79 cents per pound.
  • Lower prices on thousands of food, beverage and essential items to help consumers save on the products they rely on most. 
  • Thousands of trend-right gifts starting at $5, plus thousands of toys under $20.
  • A suite of easy-to-use fulfillment options, including an expanded reach of next-day shipping available to more than half of the U.S. population. 

For additional media materials, please visit:
https://corporate.target.com/news-features/article/2025/11/q3-2025-earnings

The Company reported third quarter GAAP earnings per share (EPS) of $1.51 and Adjusted earnings per share¹ of $1.78 compared with GAAP and Adjusted EPS of $1.85 in 2024. The attached tables provide a reconciliation of non-GAAP to GAAP measures. All earnings per share figures refer to diluted EPS.

"Thanks to the incredible work and dedication of the Target team, our third quarter performance was in line with our expectations, despite multiple challenges continuing to face our business," said Michael Fiddelke, incoming Chief Executive Officer of Target. "As we head into the all-important holiday season, our team is well-prepared and ready to serve our guests with the great products, value, and inspiration they expect from Target. At the same time, we continue to focus on the important work to deliver on our three key priorities: solidifying our merchandising authority, elevating the shopping experience, and further harnessing the power of technology to move at greater pace and consistency, all in support of a return to sustainable growth."

Guidance

For the fourth quarter of 2025, the Company is maintaining its expectation of a low-single digit decline in sales.

Full-year GAAP EPS is now expected to be approximately $7.70 to $8.70. Full-year Adjusted EPS, which excludes the gains from the litigation settlements in the first quarter and severance and asset-related charges in the third quarter, is now expected to be approximately $7.00 to $8.00.

Operating Results

Net Sales of $25.3 billion in the third quarter were 1.5 percent lower than last year, reflecting a merchandise sales decrease of 1.9 percent, partially offset by a 17.7 percent increase in non-merchandise sales.  Comparable sales decreased 2.7 percent in the third quarter, reflecting a comparable store sales decline of 3.8 percent, partially offset by comparable digital sales growth of 2.4 percent.  Third quarter operating income, which includes the impact of non-recurring items, was $0.9 billion, 18.9 percent lower than last year. Excluding those non-recurring items, operating income was $1.1 billion.

Third quarter operating income margin rate, which includes the impact of non-recurring items, was 3.8 percent in 2025, compared with 4.6 percent in 2024. Excluding those non-recurring items, operating margin rate was 4.4 percent in 2025.  Third quarter gross margin rate was 28.2 percent, compared with 28.3 percent in 2024, reflecting merchandising pressure from increased markdowns, partially offset by growth in advertising and other revenues, lower inventory shrink and efficiency gains in supply chain and digital fulfillment. Third quarter SG&A expense rate, which includes non-recurring items, was 21.9 percent, compared with 21.3 percent in 2024. Excluding those non-recurring items, SG&A expense rate was 21.3 percent in Q3 2025, in line with last year.

Interest Expense and Taxes

The Company's third quarter 2025 net interest expense was $115 million, compared with $105 million last year, reflecting higher average debt levels in the current year.

Third quarter 2025 effective income tax rate was 19.8 percent, compared with the prior year rate of 21.7 percent, reflecting the benefit of additional tax credits in the current year.

Capital Deployment and Return on Invested Capital

The Company paid dividends of $518 million in the third quarter, compared with $516 million last year, reflecting a 1.8 percent increase in the dividend per share, offset by the impact of a lower average share count.

The Company repurchased $152 million of its shares in the third quarter, retiring 1.7 million shares of common stock at an average price of $91.59. As of the end of the quarter, the Company had approximately $8.3 billion of remaining capacity under the repurchase program approved by Target's Board of Directors in August 2021.

For the trailing twelve months through third quarter 2025, after-tax return on invested capital (ROIC) was 13.4 percent, compared with 15.9 percent for the trailing twelve months through third quarter 2024. The tables in this release provide additional information about the Company's ROIC calculation.

Webcast Details

Target will webcast its third quarter earnings conference call at 7:00 a.m. CT today. Investors and the media are invited to listen to the meeting at Corporate.Target.com/Investors (click on "Q3 2025 Target Corporation Earnings Conference Call" under "Events & Presentations"). A replay of the webcast will be provided when available. The replay number is 1-800-876-4955.

Miscellaneous

Statements in this release regarding the Company's future financial performance, including its fiscal 2025 full-year guidance, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to risks and uncertainties which could cause the Company's results to differ materially. The most important risks and uncertainties are described in Item 1A of the Company's Form 10-K for the fiscal year ended February 1, 2025. Forward-looking statements speak only as of the date they are made, and the Company does not undertake any obligation to update any forward-looking statement.

About Target

Minneapolis-based Target Corporation (NYSE: TGT) serves guests at nearly 2,000 stores and at Target.com, with the purpose of helping all families discover the joy of everyday life. Since 1946, Target has given 5% of its profit to communities, which today equals millions of dollars a week. Additional company information can be found by visiting the corporate website (corporate.target.com) and press center.

1Adjusted diluted earnings per share (Adjusted EPS), a non-GAAP financial measure, excludes the impact of certain discretely managed items. See the tables of this release for additional information. 2Pricing, promotions and availability may vary by location and at Target.com. Prices are pre-tax and some are not valid in Alaska or Hawaii.

 

TARGET CORPORATION
Consolidated Statements of Operations
		Three Months Ended						Nine Months Ended
(millions, except per share data) (unaudited)		November 1, 2025		November 2, 2024		Change		November 1, 2025		November 2, 2024		Change
Net sales		$       25,270		$       25,668		(1.5) %		$       74,327		$       75,651		(1.7) %
Cost of sales		18,137		18,402		(1.4)		53,168		53,700		(1.0)
Selling, general and administrative expenses		5,536		5,459		1.4		15,486		15,969		(3.0)
Depreciation and amortization (exclusive of   depreciation included in cost of sales)		649		639		1.7		1,936		1,883		2.8
Operating income		948		1,168		(18.9)		3,737		4,099		(8.8)
Net interest expense		115		105		8.5		346		321		7.8
Net other income		(26)		(28)		(9.7)		(68)		(77)		(11.2)
Earnings before income taxes		859		1,091		(21.3)		3,459		3,855		(10.3)
Provision for income taxes		170		237		(28.4)		799		867		(7.9)
Net earnings		$            689		$            854		(19.3) %		$         2,660		$         2,988		(11.0) %
Basic earnings per share		$           1.52		$           1.86		(18.2) %		$           5.85		$           6.47		(9.6) %
Diluted earnings per share		$           1.51		$           1.85		(18.2) %		$           5.84		$           6.45		(9.6) %
Weighted average common shares outstanding
Basic		453.7		460.1		(1.4) %		454.4		461.6		(1.6) %
Diluted		455.1		461.5		(1.4) %		455.7		462.9		(1.6) %
Antidilutive shares		2.3		0.5				2.3		0.5
Dividends declared per share		$           1.14		$           1.12		1.8 %		$           3.40		$           3.34		1.8 %

 

TARGET CORPORATION
Consolidated Statements of Financial Position
(millions, except footnotes) (unaudited)		November 1, 2025		February 1, 2025		November 2, 2024
Assets
Cash and cash equivalents		$              3,822		$              4,762		$              3,433
Inventory		14,896		12,740		15,165
Other current assets		1,984		1,952		1,956
Total current assets		20,702		19,454		20,554
Property and equipment, net		33,710		33,022		32,931
Operating lease assets		3,739		3,763		3,513
Other noncurrent assets		1,840		1,530		1,533
Total assets		$           59,991		$           57,769		$           58,531
Liabilities and shareholders' investment
Accounts payable		$           13,792		$           13,053		$           14,419
Accrued and other current liabilities		6,317		6,110		5,738
Current portion of long-term debt and other borrowings		1,133		1,636		1,635
Total current liabilities		21,242		20,799		21,792
Long-term debt and other borrowings		15,366		14,304		14,346
Noncurrent operating lease liabilities		3,542		3,582		3,418
Deferred income taxes		2,279		2,303		2,419
Other noncurrent liabilities		2,061		2,115		2,067
Total noncurrent liabilities		23,248		22,304		22,250
Shareholders' investment
Common stock		38		38		38
Additional paid-in capital		7,157		6,996		6,916
Retained earnings		8,777		8,090		8,009
Accumulated other comprehensive loss		(471)		(458)		(474)
Total shareholders' investment		15,501		14,666		14,489
Total liabilities and shareholders' investment		$           59,991		$           57,769		$           58,531

Common Stock Authorized 6,000,000,000 shares, $0.0833 par value; 452,796,520, 455,566,995, and 459,244,995 shares issued and outstanding as of November 1, 2025, February 1, 2025, and November 2, 2024, respectively.

Preferred Stock Authorized 5,000,000 shares, $0.01 par value; no shares were issued or outstanding during any period presented.

 

TARGET CORPORATION
Consolidated Statements of Cash Flows
		Nine Months Ended
(millions) (unaudited)		November 1, 2025		November 2, 2024
Operating activities
Net earnings		$           2,660		$           2,988
Adjustments to reconcile net earnings to cash provided by operating activities:
Depreciation and amortization		2,331		2,215
Share-based compensation expense		197		229
Deferred income taxes		(21)		(58)
Noncash (gains) / losses and other, net		8		(1)
Changes in operating accounts:
Inventory		(2,156)		(3,279)
Other assets		(294)		(265)
Accounts payable		658		2,362
Accrued and other liabilities		102		(113)
Cash provided by operating activities		3,485		4,078
Investing activities
Expenditures for property and equipment		(2,842)		(1,968)
Other		52		26
Cash required for investing activities		(2,790)		(1,942)
Financing activities
Additions to long-term debt		1,984		741
Reductions of long-term debt		(1,609)		(1,112)
Dividends paid		(1,537)		(1,533)
Repurchase of stock		(408)		(506)
Shares withheld for taxes on share-based compensation		(65)		(98)
Cash required for financing activities		(1,635)		(2,508)
Net decrease in cash and cash equivalents		(940)		(372)
Cash and cash equivalents at beginning of period		4,762		3,805
Cash and cash equivalents at end of period		$           3,822		$           3,433

 

TARGET CORPORATION
Operating Results
Net Sales	Three Months Ended				Nine Months Ended
(millions) (unaudited)	November 1, 2025		November 2, 2024		November 1, 2025		November 2, 2024
Apparel & accessories	$           3,838		$           4,003		$         11,635		$         12,161
Beauty	3,232		3,226		9,729		9,729
Food & beverage	6,008		5,917		17,499		17,308
Hardlines	3,190		3,152		9,786		9,634
Home furnishings & décor	3,908		4,185		10,789		11,612
Household essentials	4,542		4,715		13,321		13,828
Other merchandise sales	34		30		117		120
Merchandise sales	24,752		25,228		72,876		74,392
Advertising revenue (a)	241		167		621		459
Credit card profit sharing	119		148		395		433
Other	158		125		435		367
Net sales	$         25,270		$         25,668		$         74,327		$         75,651

(a)

Primarily represents revenue related to advertising services provided via the Company's Roundel digital advertising business offering. Roundel services are classified as either Net Sales or as a reduction of Cost of Sales or Selling, General, and Administrative (SG&A) Expenses, depending on the nature of the advertising arrangement.

 

Rate Analysis		Three Months Ended				Nine Months Ended
(unaudited)		November 1, 2025		November 2, 2024		November 1, 2025		November 2, 2024
Gross margin rate (a)		28.2 %		28.3 %		28.5 %		29.0 %
SG&A expense rate (a)(b)		21.9		21.3		20.8		21.1
Depreciation and amortization expense rate (exclusive of   depreciation included in cost of sales)		2.6		2.5		2.6		2.5
Operating income margin rate (b)		3.8		4.6		5.0		5.4

Note: Gross margin is calculated as Net Sales less Cost of Sales. All rates are calculated by dividing the applicable amount by Net Sales.
(a)	Reflects the impact of a reclassification of prior year amounts, which were not material, to conform with current year presentation. The reclassifications increased Cost of Sales with equal and offsetting decreases to SG&A Expenses.
(b)	SG&A Expenses and Operating Income for the three and nine months ended November 1, 2025, include certain costs  related to our multi-year initiative to transform various aspects of our business. These discretely managed items resulted in a net impact to the SG&A Expense Rate of 0.6 and (0.6) percentage points for the three and nine months ended November 1, 2025, respectively, with an inverse impact on the Operating Income Margin Rate in the respective periods. The Reconciliation of Non-GAAP Adjusted EPS tables provide additional information.

Sales Metrics

Comparable sales include all Merchandise Sales, except sales from stores open less than 13 months or that have been closed.  Digitally originated sales include all Merchandise Sales initiated through mobile applications and the Company's websites.

Comparable Sales		Three Months Ended				Nine Months Ended
(unaudited)		November 1, 2025		November 2, 2024		November 1, 2025		November 2, 2024
Comparable sales change		(2.7) %		0.3 %		(2.8) %		(0.5) %
Drivers of change in comparable sales
Number of transactions (traffic)		(2.2)		2.4		(1.9)		1.1
Average transaction amount		(0.5)		(2.0)		(0.9)		(1.6)
Comparable Sales by Channel		Three Months Ended				Nine Months Ended
(unaudited)		November 1, 2025		November 2, 2024		November 1, 2025		November 2, 2024
Stores originated comparable sales change		(3.8) %		(1.9) %		(4.2) %		(2.0) %
Digitally originated comparable sales change		2.4		10.8		3.8		6.9
Merchandise Sales by Channel		Three Months Ended				Nine Months Ended
(unaudited)		November 1, 2025		November 2, 2024		November 1, 2025		November 2, 2024
Stores originated		80.7 %		81.5 %		80.7 %		81.8 %
Digitally originated		19.3		18.5		19.3		18.2
Total		100 %		100 %		100 %		100 %
Merchandise Sales by Fulfillment Channel		Three Months Ended				Nine Months Ended
(unaudited)		November 1, 2025		November 2, 2024		November 1, 2025		November 2, 2024
Stores		97.7 %		97.7 %		97.7 %		97.8 %
Other		2.3		2.3		2.3		2.2
Total		100 %		100 %		100 %		100 %

Note: Merchandise Sales fulfilled by stores include in-store purchases and digitally originated sales fulfilled by shipping merchandise from stores to guests, Order Pickup, Drive Up, and Same Day Delivery.

 

Target Circle Card Penetration						Three Months Ended				Nine Months Ended
(unaudited)						November 1, 2025		November 2, 2024		November 1, 2025		November 2, 2024
Total Target Circle Card Penetration						16.9 %		17.7 %		17.0 %		17.8 %
Number of Stores and Retail Square Feet		Number of Stores						Retail Square Feet(a)
(unaudited)		November 1, 2025		February 1, 2025		November 2, 2024		November 1, 2025		February 1, 2025		November 2, 2024
170,000 or more sq. ft.		273		273		273		48,824		48,824		48,824
50,000 to 169,999 sq. ft.		1,576		1,559		1,559		197,274		195,050		195,050
49,999 or less sq. ft.		146		146		146		4,420		4,404		4,404
Total		1,995		1,978		1,978		250,518		248,278		248,278

(a)	In thousands; reflects total square feet less office, supply chain facility, and vacant space.

TARGET CORPORATION

Reconciliation of Non-GAAP Financial Measures

To provide additional transparency, we disclose non-GAAP adjusted diluted earnings per share (Adjusted EPS). This metric excludes certain items presented below. We believe this information is useful in providing period-to-period comparisons of the results of our operations. This measure is not in accordance with, or an alternative to, generally accepted accounting principles in the U.S. (GAAP). The most comparable GAAP measure is diluted earnings per share. Adjusted EPS should not be considered in isolation or as a substitution for analysis of our results as reported in accordance with GAAP. Other companies may calculate Adjusted EPS differently, limiting the usefulness of the measure for comparisons with other companies. 

Reconciliation of Non-GAAP Adjusted EPS		Three Months Ended
		November 1, 2025						November 2, 2024
(millions, except per share data) (unaudited)		Pretax		Net of Tax		Per Share		Pretax		Net of Tax		Per Share		Change
GAAP diluted EPS						$     1.51						$     1.85		(18.2) %
Adjustments
Business transformation costs (a)		$      161		$       120		$     0.26		$        —		$         —		$        —
Adjusted EPS						$     1.78						$     1.85		(3.9) %
Reconciliation of Non-GAAP Adjusted EPS		Nine Months Ended
		November 1, 2025						November 2, 2024
(millions, except per share data) (unaudited)		Pretax		Net of Tax		Per Share		Pretax		Net of Tax		Per Share		Change
GAAP diluted EPS						$     5.84						$     6.45		(9.6) %
Adjustments
Business transformation costs (a)		$      161		$       120		$     0.26		$        —		$         —		$        —
Interchange fee settlements (b)		(593)		(441)		(0.97)		—		—		—
Adjusted EPS						$     5.13						$     6.45		(20.5) %

Note: Amounts may not foot due to rounding.
(a)	Includes employee severance and related costs, as well as asset impairments and other charges related to the termination of a commercial partnership.
(b)	Includes gains, net of legal fees, related to settlements during the first quarter of 2025 of credit card interchange fee litigation matters in which the Company was a plaintiff.

 

Reconciliation of Non-GAAP Adjusted EPS Guidance
(per share) (unaudited)		Full Year 2025
GAAP diluted earnings per share guidance		$7.70 - $8.70
Estimated adjustments (a)
Interchange fee settlements		($0.97)
Business transformation costs		0.26
Adjusted diluted earnings per share guidance		~$7.00 - $8.00

(a)

Full-year 2025 GAAP EPS may include the impact of additional discrete items, which will be excluded in calculating Adjusted EPS. The guidance does not currently reflect any such additional discrete items. In the past, these items have included both gains and losses, including certain asset impairments, severance, and other items that are discretely managed.

Earnings before interest expense and income taxes (EBIT) and earnings before interest expense, income taxes, depreciation and amortization (EBITDA) are non-GAAP financial measures. We believe these measures provide meaningful information about our operational efficiency compared with our competitors by excluding the impact of differences in tax jurisdictions and structures, debt levels, and, for EBITDA, capital investment. These measures are not in accordance with, or an alternative to, GAAP. The most comparable GAAP measure is net earnings. EBIT and EBITDA should not be considered in isolation or as a substitution for analysis of our results as reported in accordance with GAAP. Other companies may calculate EBIT and EBITDA differently, limiting the usefulness of the measures for comparisons with other companies.

EBIT and EBITDA		Three Months Ended						Nine Months Ended
(dollars in millions) (unaudited)		November 1, 2025		November 2, 2024		Change		November 1, 2025		November 2, 2024		Change
Net earnings		$            689		$            854		(19.3) %		$         2,660		$         2,988		(11.0) %
+ Provision for income taxes		170		237		(28.4)		799		867		(7.9)
+ Net interest expense		115		105		8.5		346		321		7.8
EBIT		$            974		$         1,196		(18.7) %		$         3,805		$         4,176		(8.9) %
+ Total depreciation and amortization (a)		773		754		2.6		2,331		2,215		5.2
EBITDA		$         1,747		$         1,950		(10.5) %		$         6,136		$         6,391		(4.0) %

(a)	Represents total depreciation and amortization, including amounts classified within Depreciation and Amortization and within Cost of Sales.

We have also disclosed after-tax ROIC, which is a ratio based on GAAP information, with the exception of the add-back of operating lease interest to operating income. We believe this metric is useful in assessing the effectiveness of our capital allocation over time. Other companies may calculate ROIC differently, limiting the usefulness of the measure for comparisons with other companies. 

After-Tax Return on Invested Capital
(dollars in millions) (unaudited)
		Trailing Twelve Months
Numerator		November 1, 2025		November 2, 2024 (a)
Operating income		$         5,204		$             5,964
+ Net other income		97		105
EBIT		5,301		6,069
+ Operating lease interest (b)		167		157
- Income taxes (c)		1,238		1,403
Net operating profit after taxes		$         4,230		$             4,823
Denominator		November 1, 2025		November 2, 2024		October 28, 2023
Current portion of long-term debt and other borrowings		$         1,133		$           1,635		$         1,112
+ Noncurrent portion of long-term debt		15,366		14,346		14,883
+ Shareholders' investment		15,501		14,489		12,514
+ Operating lease liabilities (d)		3,924		3,765		3,351
- Cash and cash equivalents		3,822		3,433		1,910
Invested capital		$       32,102		$         30,802		$       29,950
Average invested capital (e)		$       31,451		$         30,376
After-tax return on invested capital (f)		13.4 %		15.9 %

(a)	The trailing twelve months ended November 2, 2024, consisted of 53 weeks compared with 52 weeks in the current-year period.
(b)	Represents the add-back to operating income driven by the hypothetical interest expense we would incur if the property under our operating leases was owned or accounted for under finance leases. Calculated using the discount rate for each lease and recorded as a component of rent expense within Operating Income. Operating lease interest is added back to Operating Income in the ROIC calculation to control for differences in capital structure between us and our competitors.
(c)	Calculated using the effective tax rates, which were 22.6 percent and 22.5 percent for the trailing twelve months ended November 1, 2025, and November 2, 2024, respectively. For the twelve months ended November 1, 2025, and November 2, 2024, includes tax effect of $1.2 billion and $1.4 billion, respectively, related to EBIT, and $38 million and $35 million, respectively, related to operating lease interest.
(d)	Total short-term and long-term operating lease liabilities included within Accrued and Other Current Liabilities and Noncurrent Operating Lease Liabilities, respectively.
(e)	Average based on the invested capital at the end of the current period and the invested capital at the end of the comparable prior period.
(f)	For the trailing twelve months ended November 1, 2025, includes the impact of after-tax net gains on interchange fee settlements and business transformation costs, which had a net favorable impact on after-tax ROIC of 1.0 percentage point. Note (b) to the Rate Analysis table provides additional information.

 

 

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SOURCE Target Corporation

FAQ

What were Target's (TGT) third quarter 2025 net sales and comparable sales?

Target reported $25.3 billion net sales and comparable sales -2.7% for Q3 2025.

How did Target's (TGT) Q3 2025 earnings per share compare to last year?

Q3 2025 GAAP EPS was $1.51 versus $1.85 in Q3 2024; Adjusted EPS was $1.78.

What guidance did Target (TGT) provide for fiscal 2025 and Q4?

Target expects Q4 2025 low-single digit sales decline; full-year GAAP EPS of $7.70–$8.70 and Adjusted EPS of $7.00–$8.00.

How much did Target (TGT) return to shareholders in Q3 2025?

Target paid $518M in dividends and repurchased $152M of shares in Q3 2025.

Which segments or channels showed strength in Target's Q3 2025 results (TGT)?

Non-merchandise revenue grew 17.7%; Food & Beverage and Hardlines delivered comparable sales growth; digital comps rose 2.4%.

What margin and profitability changes did Target (TGT) report for Q3 2025?

Reported operating margin was 3.8% (including non-recurring items) and gross margin rate was 28.2% in Q3 2025.