Target Corporation (NYSE:TGT) Q2 2023 Earnings Conference Call August 16, 2023 8:00 AM ET Company Participants John Hulbert - VP, IR Brian Cornell - Chairman and CEO Christina Hennington - Chief Growth Officer John Mulligan - COO Michael Fiddelke - CFO Conference Call Participants Rupesh Parikh - Oppenheimer Kate McShane - Goldman Sachs Oliver Chen - TD Cowen Michael Lasser - UBS Simeon Gutman - Morgan Stanley Operator Ladies and gentlemen, thank you for standing by. Welcome to the Target Corporation's Seco ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended April 29, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to ____ Commission File Number 1-6049 TARGET CORPORATION (Exact name of registrant as specified in its charter) 41-0215170 Minnesota (I.R.S. Employer Ide ...

Target Corporation (NYSE:TGT) Q1 2023 Earnings Conference Call May 17, 2023 8:00 AM ET Company Participants John Hulbert - VP, IR Brian Cornell - Chairman & CEO Christina Hennington - Chief Growth Officer John Mulligan - Chief Operating Officer Michael Fiddelke - Chief Financial Officer Conference Call Participants Edward Kelly - Wells Fargo Chris Horvers - JPMorgan Michael Lasser - UBS Karen Short - Credit Suisse Rupesh Parikh - Oppenheimer Simeon Gutman - Morgan Stanley Dean Rosenblum - Bernstein Operator ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended January 28, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to ____ Commission File Number 1-6049 TARGET CORPORATION (Exact name of registrant as specified in its charter) Minnesota (State or other jurisdiction of incor ...

Financial Data and Key Metrics - Full year 2022 revenue grew by $3.1 billion, reaching $109 billion, with a 2.1% increase in traffic [3] - Comparable sales grew by 2.2% for the full year, marking the 23rd consecutive quarter of comp sales growth [4] - Digital penetration now stands at nearly 19%, with digital business nearly tripling in size since 2019 [12] - Operating income margin rate is expected to move towards and beyond the pre-pandemic rate of 6% in the next few years [13] Business Line Performance - Food & Beverage and Essentials categories delivered the third consecutive year of double-digit sales growth in 2022 [22] - Beauty category saw outsized growth, with Ulta Beauty at Target sales more than 4x higher than in 2021 [22] - Discretionary categories like home, apparel, and hardlines generated around $55 billion in sales despite a pullback [21] - Owned brands outpaced total enterprise growth, with plans to launch or extend assortments in more than 10 owned brands in 2023 [24] Market Performance - Target gained unit share across all five core merchandising categories, reflecting consumer preference for value and affordability [3][12] - The company saw significant growth in guest engagement, with transactions increasing since 2019 and deeper cross-category purchases [13] - Ulta Beauty at Target locations are expanding, with sales from these locations being almost entirely incremental [22] Strategic Direction and Industry Competition - Target's strategy focuses on multi-category portfolio flexibility, leaning into non-discretionary categories in the near term [5] - The company continues to invest in store remodels, supply chain, and digital capabilities, with 95% of all sales fulfilled by stores [8] - Partnerships with brands like Levi's, Disney, Apple, and Starbucks have expanded, with Ulta Beauty being a key growth driver [10] - Target Circle loyalty program has over 100 million members, with personalized offers driving higher spending [29] Management Commentary on Operating Environment and Future Outlook - Management acknowledged the volatile and uncertain environment in 2022, driven by inflation, fuel price spikes, and shifting consumer behavior [4] - The company plans to navigate near-term challenges by focusing on agility, strong execution, and cautious inventory management [53] - Target expects to return to solid and consistent growth, with operating income margin rate moving towards pre-pandemic levels [13] - The company is optimistic about long-term potential, emphasizing the durability of its business model and ability to adapt to consumer needs [17] Other Important Information - Target's media company, Roundel, grew by more than 60% over the past two years, with significant growth and profit potential ahead [11] - The company is investing in sustainability through its Target Forward strategy, aiming for net-zero emissions by 2040 [42] - Drive-Up services, including Drive-Up returns, are being expanded to enhance guest convenience and efficiency [38][39] Q&A Session Summary Question: Operating Margin Expectations - Target expects to reach a 6% operating margin by 2024, driven by efficiency improvements and recovery from 2022 headwinds [91][92] - The company is cautious in its 2023 outlook due to uncertainty in consumer behavior and economic conditions [93] Question: Drive-Up Returns and Free Cash Flow - Drive-Up returns are expected to enhance guest convenience, with the majority of returns currently coming back to stores [97] - Free cash flow is expected to improve in 2023, driven by better profitability and working capital recovery [101] Question: Efficiency Gains and Margin Drivers - Target anticipates $2 billion to $3 billion in efficiency gains over the next three years, with some benefits expected in 2023 [70][130] - Key margin drivers include reduced markdowns, improved supply chain efficiency, and lower freight costs [116] Question: Category Opportunities and Trade-Down Impact - Target sees opportunities to grow share across all major categories, leveraging its multi-category portfolio and digital capabilities [123] - The company views owned brands as a trade-in opportunity rather than a trade-down, offering quality at competitive price points [109] Question: Beauty Category and Ulta Partnership - Beauty is a strong category for Target, with Ulta Beauty at Target driving significant incremental growth [127] - The company plans to accelerate the rollout of Ulta Beauty locations as part of its remodel program [127] Question: Discretionary Categories and Margin Recovery - Despite softness in discretionary categories, Target generated $55 billion in sales from these categories in 2022 [137] - The company expects margin recovery through reduced markdowns, improved freight costs, and supply chain efficiency [116] Question: Gross Margin and Flexibility in EBIT Improvement - Target is focused on recapturing gross margin through personalized promotions and efficiency improvements [146] - The company has flexibility to adjust inventory and operations to deliver $1 billion in EBIT improvement, even in a challenging sales environment [145]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Securities registered pursuant to Section 12(b) of the Act: Title of each class Trading Symbol(s) Name of each exchange on which registered Common stock, par value $0.0833 per share TGT New York Stock Exchange Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended October 29, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIE ...

Target Corporation (NYSE:TGT) Q3 2022 Earnings Conference Call November 16, 2022 8:00 AM ET Company Participants John Hulbert - VP, IR Brian Cornell - Chairman & CEO Christina Hennington - EVP & Chief Growth Officer John Mulligan - EVP & COO Michael Fiddelke - Executive VP & CFO Conference Call Participants Christopher Horvers - JPMorgan Michael Lasser - UBS Edward Yruma - Piper Sandler & Co. Scott Mushkin - R5 Capital Robert Ohmes - BofA Simeon Gutman - Morgan Stanley Katharine McShane - Goldman Sachs Oper ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Securities registered pursuant to Section 12(b) of the Act: Title of each class Trading Symbol(s) Name of each exchange on which registered Common stock, par value $0.0833 per share TGT New York Stock Exchange Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended July 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES E ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended January 29, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to ____ Commission File Number 1-6049 https://rep 12520680 b iji TARGET CORPORATION (Exact name of registrant as specified in its charter) Minnesota (State or ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended October 31, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to ____ Commission File Number 1-6049 TARGET CORPORATION (Exact name of registrant as specified in its charter) Minnesota (State or other jurisdiction ...