Financial News

MINNEAPOLIS — Target came roaring back in its second quarter from a year-long sales slump amid evidence that its investments in online and store remodels are paying off. The discounter raised its outlook for the year.

Sales rose 1.6% to $16.43 billion in the quarter ended July 29, beating analysts' estimates of $16.30 billion. Same-store sales rose 1.3%, also more than analysts had expected. Comparable digital sales surged 32%.

FLINT, Mich. — Diplomat Pharmacy is transitioning into new leadership as it moves into the last half of its fiscal year. Alongside its Q2 earnings report, the company on Monday appointed Joel Saban president, effective Aug. 7, as Paul Urick departs the company to pursue other interests. Urick will stay on as president emeritus during a 90-day transition period.

The import tax proposal has officially been removed from the tax reform plan — which is welcome news for retailers across the industry.

On Thursday, congressional and administration leaders announced they would remove the Border Adjustment Tax from consideration, and announced an outline for comprehensive tax reform. The BAT provision would have ended importers’ ability to deduct the cost of merchandise purchased from other countries. 

SAN FRANCISCO — McKesson on Thursday reported revenues of $51.1 billion for the first quarter ended June 30, up 3% compared to the year-ago period. First-quarter adjusted earnings per diluted share was $2.46, down 22% compared to $3.15 a year ago.

VARENNES, Quebec — The Jean Coutu Group on Tuesday reported $580.6 million in revenues for the first quarter ended June 3, representing an increase of 3.7% that was attriubuted to overall market growth by the Canadian retailer.

It appears oral care brands are borrowing a page from the skin care playbook. To brush up on sales, more oral care brands are mirroring trends that have boosted mass market skin care sales — double-duty toothpastes, a trend toward “premiumization” and building momentum for more naturally positioned offerings.

After years of ignoring warnings that sun exposure poses a health risk and hastens aging, consumers are starting to see the light. In fact, overall category sales rose 6.7% for the 52-week period ended May 14 across multi-outlets, according to IRI. Lotions and oils advanced almost 7%, and sunscreens and bug repellants jumped 3.5%.

But retailers and marketers said much more needs to be done. A recent Marist Institute for Public Opinion Poll said only 1-in-10 people apply sunscreen regularly.

DEERFIELD, Ill. — Walgreens Boots Alliance on Thursday generated fiscal 2017 third quarter net earnings of $1.2 billion, up 5.3%, for the period ended May 31. Sales in the third quarter were $30.1 billion, an increase of 2.1% from the year-ago quarter, and an increase of 5% on a constant currency basis.