Core Insights - Target is cutting 1,800 corporate jobs, marking its first major layoffs in a decade [1] Company Summary - The layoffs represent a significant and painful restructuring for Target [1]

Roughly two months after naming a new CEO, Target said it plans to cut an estimated 1,800 corporate jobs in an effort to offset the retailer's stagnant sales numbers, according to multiple reports citing a memo sent to employees. Target's board of directors appointed Michael Fiddelke as the retail giant's next CEO on Aug. 20, succeeding veteran CEO Brian Cornell. Fiddelke, who will take over for Cornell in 2026, announced the layoffs in a memo to Target employees at the retailer's headquarters in Minneapo ...

(Reuters) -Target is cutting around 1,800 corporate roles in its first major layoff in around a decade as the retailer looks to reverse years of stagnant sales and simplify its operations. The move, unveiled by incoming CEO Michael Fiddelke in memo to employees on Thursday, comes at a time its share price has lagged rivals and the company has faced backlash for pulling back from its diversity, equity, and inclusion policies. "Too many layers and overlapping work have slowed decisions, making it harder to ...

Core Insights - Target Corp. announced the elimination of 1,800 corporate roles, representing 8% of its headquarters workforce, as part of a significant restructuring effort aimed at streamlining operations and reducing costs amid declining sales and investor skepticism [1][2]. Group 1: Restructuring Details - The restructuring includes approximately 1,000 layoffs and the closure of 800 open positions, as stated by Chief Operating Officer Michael Fiddelke, who emphasized that "too many layers and overlapping work" have hindered decision-making and innovation [2]. - All headquarters employees have been directed to work remotely for the upcoming week while the restructuring is implemented [3]. Group 2: Market Challenges - Target has faced challenges in balancing value pricing with profitability, falling behind competitors in attracting shoppers and investors as consumers shift towards lower-cost retailers and private-label goods [3][4]. - The most recent quarter saw a decline in sales as customers prioritized spending on food, healthcare, and household staples over discretionary items like apparel and home decor [4]. Group 3: Strategic Focus - The company is focusing on efficiency and disciplined investments to navigate a more selective consumer landscape, with the challenge of restoring confidence among shoppers and investors while managing cost controls and brand differentiation [4]. - The restructuring reflects a broader trend in U.S. retail towards leaner, faster, and more data-driven operations, with many retailers, including Target, reducing seasonal hiring in anticipation of muted consumer demand [4].

Core Insights - Target is entering a new phase under the leadership of Michael Fiddelke, who aims to streamline operations and reduce complexity within the company [1] Group 1 - The retailer is reportedly cutting jobs as part of its strategy to simplify operations [1] - The new CEO has identified complexity as a factor that has slowed down the company's performance [1]

Group 1 - The move is part of incoming CEO Michael Fiddelke's efforts to revitalize the ailing retailer [1]

Core Insights - Target is cutting approximately 1,000 corporate positions and eliminating 800 open roles to enhance decision-making speed and drive growth under new CEO Michael Fiddelke [1][3] - The layoffs will represent 8% of the company's global headquarters team, with about 80% of the affected roles based in the U.S., primarily in Minneapolis and leadership positions [2][3] Company Strategy - Fiddelke aims to create a leaner organization by reducing management layers and simplifying processes to foster innovation and improve cross-functional collaboration [1][4][6] - The initiative is part of the Enterprise Acceleration Office launched in May, focusing on moving faster and simplifying operations to support Target's growth [6][8] Financial Performance - In the latest fiscal quarter, Target reported $25.2 billion in sales, a decrease of 0.9% year-over-year, attributed to reduced merchandise spending by shoppers [13] - Comparable store sales fell by 1.9%, with in-store sales dropping over 3%, while online sales increased by just over 4% [14] - Operating income for the quarter was $1.3 billion, down approximately 19.4% from the previous year [14] Leadership Transition - Michael Fiddelke, who has been with Target for over two decades, will succeed Brian Cornell as CEO in February, facing the challenge of reversing declining store traffic and profit pressures [1][12][9] - Fiddelke has previously overseen significant growth initiatives, including delivering over $2 billion in efficiencies [11]

Retailer also will eliminate 800 open roles. Together, the moves will cut 8% of corporate roles ...

Core Insights - Tractor Supply Company (TSCO) reported third-quarter 2025 results with earnings of 49 cents per share, surpassing the Zacks Consensus Estimate of 48 cents, and reflecting an 8.6% increase from the prior-year quarter [1][10] Financial Performance - Net sales increased by 7.2% year over year to $3.72 billion, aligning with the Zacks Consensus Estimate, driven by new store openings, Allivet gains, and higher comparable store sales [2][10] - Comparable store sales grew by 3.9% year over year, reversing a 0.2% decline from the previous year's third quarter, supported by a 2.7% rise in average transaction count and a 1.2% increase in average ticket [3] - Gross profit rose by 7.7% year over year to $1.39 billion, with gross margin improving by 15 basis points to 37.4%, primarily due to effective product cost management [4][10] Cost and Margin Analysis - Selling, general and administrative (SG&A) expenses increased by 8.4% to $1.05 billion, with SG&A as a percentage of net sales rising to 28.1% from 27.8% in the prior year, largely due to planned investments and timing of incentive compensation [5] - Operating income grew by 5.6% year over year to $342.7 million, while the operating margin fell by 20 basis points to 9.2% [6] Financial Position - At the end of the quarter, Tractor Supply had cash and cash equivalents of $184.6 million, long-term debt of $1.74 billion, and total stockholders' equity of $2.57 billion [7] - The company returned $197.3 million to shareholders, including the repurchase of 1.3 million shares for $75.4 million and $121.9 million in quarterly cash dividends [8] Outlook - Management revised its guidance for 2025, now expecting net sales growth of 4.6-5.6% and comparable sales growth of 1.4-2.4% [11] - Projected operating margin rate is between 9.5% and 9.7%, with net income expected to be between $1.09 billion and $1.14 billion, and earnings per share anticipated to be $2.06-$2.13 [12]

This story was originally published on CFO Dive. To receive daily news and insights, subscribe to our free daily CFO Dive newsletter. Dive Brief: Walmart on Wednesday announced it is promoting Chief Audit Executive Dwayne Milum, 50, to serve as the retailer’s controller and senior vice president, effective Feb. 1, according to a Securities and Exchange Commission filing.   Milum, who joined the Bentonville, Arkansas-based retail giant just over two decades ago, will serve as its principal accounting off ...