Minneapolis, MN, May 13--First-quarter earnings at Target Corp. jumped 25% as the company's namesake discount store continued to carry its other two sluggish divisions.
Target said Thursday it earned $438 million, or 48 cents per share, for the three months ended May 1, up from $349 million, or 38 cent a share, in the same quarter a year earlier.
Revenue increased 12.3% to $11.58 billion for the quarter from $10.32 billion a year ago.
Target's earnings per share beat by a penny the consensus estimate of analysts surveyed by Thomson First Call.
Revenue from Target's namesake stores increased 14% to $10 billion, as the division benefited from new stores and growth of 7.3% for stores open at least a year.
Mervyn's revenue and comparable-store sales both dipped 1.4%, with revenue of $793 million. Revenue increased 4% to $614 million at Marshall Field's, on comparable-store sales increases of 6.1%.
Revenues from credit operations slipped a 0.5% to $338 million.
"We are pleased with our first-quarter results," said chairman and chief executive Bob Ulrich in a statement. "Our performance reflects year-over-year growth in profits at all three retail segments, with particular strength at Target Stores."
The company offered no update on its offer to sell its Marshall Field's and Mervyn's store divisions. Last month, Federated Department Stores Inc. said it's exploring whether to buy the Marshall Field's department store group.
