On Wednesday, Target Corporation (NYSE: TGT) announced its financial results for the third quarter of 2017. Shares of the company dropped 8.5% to $54.98 per share in afternoon trading hours on Wednesday.
Net income dropped from $608 million, or $1.06 per share, for the same period last year, to $480 million, or $0.88 per share for the third quarter. Excluding certain items, earnings per share was $0.91, beating analysts’ estimates of $0.86 per share.
For the third quarter, sales of the company increased 1.4% to $16.67 billion, which also beat estimates of $16.61 billion. In addition, same store sales were up 0.9%, which was estimated to be increasing 0.4%. Digital sales for the third quarter rose 24%, accounting for 0.8% of total comparable sales growth. Online sales account for 4.3% of total sales.
“We’re very pleased with Target’s third quarter performance, including traffic and sales growth that demonstrate we’re building on the progress we saw in the first half of the year,” Brian Cornell, the chairman and chief executive officer of Target, said in the statement on Wednesday.
For the fourth quarter, the company expected its adjusted earnings to be in the range of $1.05 to $1.25 per share. Same-store sales was expected to rise 2% for the fourth quarter. Target also provided guidance for the full-year 2017. Adjusted earnings per share was expected to be between $4.40 and $4.60 per share.