$1.65 of Target's $4.11 Quarterly Profit Came From Tariff Refunds
The retailer's earnings doubled -- with $994 million of tariff refunds inside. Here's what the quarter looks like without it.
Overview
Target (NYSE:TGT) reported second-quarter results Wednesday morning, and the headline numbers were solid. Earnings per share doubled year over year to $4.11, net sales grew 5.3% to $26.5 billion, and management raised its full-year outlook.
Shares climbed about 4% on the news, closing at about $159 -- within about $3 of their 52-week high.
Details
But there is an asterisk on that doubled profit, and it is a big one. The quarter included $994 million of pre-tax tariff refund benefits, money returned to Target after the Supreme Court struck down a set of import tariffs in February. Those refunds contributed $752 million to net earnings, or $1.65 of the quarter's $4.11 in earnings per share.
Source
Originally published at www.fool.com.
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