Target Unit Helps Dayton Hudson Nearly Quadruple Its Profit
From Times Wire Services
Dayton Hudson Corp. said Tuesday that its earnings almost quadrupled in the second quarter, aided by cost cuts and profit from its Target discount store unit, while specialty retailers Limited and Ann Taylor Stores posted more modest improvements.
Minneapolis-based Dayton Hudson, the nation’s fourth-largest retailer, said earnings jumped to $101 million, or 42 cents a share, from $28 million, or 11 cents, a year earlier.
Target posted profit of $240 million for the quarter, up 66%, which exceeded analysts’ expectations. The gain was fueled by expense cuts, bigger markups and robust sales.
Sales at Dayton Hudson’s troubled Mervyn’s unit--a chain of 299 department stores that competes with J.C. Penney and Sears--declined, but profit climbed.
