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US retail giant Target has provided an update on its 2024 holiday sales performance, alongside a strategic reshuffle of its executive leadership team.
The retailer reported a 2.8% increase in total sales during the November and December period, attributing the growth to a 2% rise in comparable sales and record-breaking figures during the Black Friday and Cyber Monday events.
The surge in sales was propelled by a 3% uptick in customer traffic - the 8th consecutive month of year-on-year (YoY) traffic gains for the retailer.
Both bricks-and-mortar stores and digital platforms contributed to this growth trajectory, with digital sales alone rising almost 9%, bolstered by a robust 30% jump in same-day delivery services through Target Circle 360.
Target's third-party marketplace, Target Plus, also witnessed substantial expansion, with close to a 50% increase.
More than 97% of the company's sales were fulfilled by its physical stores.
The holiday season also saw an uptick in discretionary spending, particularly in apparel and toys, while beauty and frequency categories maintained strong performance.
Target anticipates 1.5% growth in fourth-quarter (Q4) comparable sales and maintains its projected earnings per share (EPS) for the quarter to be between $1.85 and $2.45.
The full-year GAAP (generally accepted accounting principles) and adjusted EPS are expected to fall within the $8.30 to $8.90 range.
Target chair and chief executive officer Brian Cornell said: "Our team delivered continued traffic growth and better-than-expected holiday-season performance, thanks to their focus on serving guests with an inspiring, easy and joyous shopping experience.”
Target also announced changes to its leadership team as part of its strategy for long-term success.
Executive vice-president and chief stores officer Mark Schindele is set to retire after 25 years.
Adrienne Costanzo will succeed him as senior vice-president of store operations from 2 February 2025, spearheading operations across 2,000 US stores and managing 350,000 team members.
Reporting directly to Michael Fiddelke, executive vice-president and chief operating officer, Costanzo will also join Target's leadership team.
Brett Craig, executive vice-president and chief information officer, will also retire after a significant 15-year stint at Target. Prat Vemana will replace him as chief information and product officer while maintaining his executive role on the leadership team.
Sarah Travis is set for promotion from senior vice-president of Roundel and social commerce to executive vice-president, chief digital and revenue officer and member of the company's leadership team.