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Like its former slogan, Kohl’s continues to “expect great things” despite recent financial challenges.
In early 2025, the popular department store chain closed 27 underperforming stores across 15 states, but now, business is looking up, CEO Michael Bender said on a call with analysts and investors last week.
Kohl’s currently operates more than 1,100 stores nationwide and “well over 90 percent” are profitable, Bender claimed when asked if the company planned to close stores.
“I would not anticipate any sort of grand plan of saying we’re taking stores out or adding stores at this point,” Bender said, the Milwaukee Journal Sentinel reports. “The focus for us is actually on optimizing what we already have and we’ll be focused on making sure that we continue to push the stores productivity going forward.”
Kohl’s reviews its stores annually and may relocate some locations, but Bender said no major changes are planned right now.
"Our customers count on us to actually have what they're looking for, whether its online or in-store, particularly in-store," Bender reportedly on the call. "What we've been doing is curating the assortment to the point where we have the appropriate level of choice and in many cases that means reducing the choice offerings that we have but at the same time actually going deeper on that."
The Wisconsin-based retailer recently reported stronger-than-expected earnings, even though overall sales continued to slip. The company boosted profits after cutting expenses and tightening inventory management, though net sales for the latest quarter fell about 3.9 percent and comparable store sales dropped 2.8 percent.
Despite those challenges, company leaders say they are not planning another wave of store shutdowns following the closures announced in 2025. Instead, executives expect the company’s store count to remain largely stable in 2026, with the possibility of opening some new locations.
Kohl’s posted $272 million in profit in 2025, up from $186 million the year before. Operating cash flow also rose to $1.4 billion, up from $648 million in 2024.
Still, sales moved in the opposite direction. The company said revenue fell about 4 percent in 2025, with 2026 sales expected to be flat or decline by roughly 2
To win back customers, Kohl’s is doubling down on value. The retailer is adding more low-priced merchandise, including a new Deal Bar at the front of stores that features rotating trendy gifts, seasonal items and everyday essentials priced at $10 or less. The company is also simplifying store layouts to make shopping quicker and easier.
"We got to get the product right because that's what ultimately people come for,” Bender said last week. “Experience and all the other things wrapped around it are important and we're working on that as well, but we got to get the product right. We'll continue to focus back on that space to get back to growth eventually."
