McDonald has worked at Kohl’s for 14 years. The company, which operates Kohl’s department stores nationwide, is working to fill the position and prepare for his departure.
“I am honored to have had the opportunity to serve as Kohl’s CFO,” McDonald said. “I am proud of all that our team has accomplished together and am confident that Kohl’s is well-positioned for continued success, creating value for all stakeholders.”
“Wes has played an important role in the company’s growth and development over the last 14 years,” said Kevin Mansell, chairman, president and chief executive officer of Kohl’s. “His business knowledge and financial expertise have been critical in our success and his communication with the investment community has always been transparent and consistent. On behalf of the entire executive leadership team, I thank Wes for his significant contributions, and I look forward to his continued contribution during this transition. He will be missed on his departure, and we wish him the very best in his retirement.”
The company also reported its third-quarter earnings today. While its profits exceeded analyst expectations, its revenue missed estimates by $10 million.
Net income was $146 million, or 83 cents per diluted share, in the third quarter, up from $120 million, or 63 cents per diluted share, in the third quarter of 2015.
Operating income was $301 million, down from $308 million in the same period a year ago. The company lost $6 million on impairments, store closing and other costs in the third quarter, while it incurred none of those costs in the third quarter of 2015.
Revenue totaled $4.3 billion, down 2.3 percent from $4.4 billion in the third quarter of 2015. Comparable store sales, an important measure of retail performance, fell 1.7 percent in the third quarter, compared with a 1 percent increase in the third quarter of 2015. Kohl’s increased its provision for income taxes by $10 million year-over-year.
“We are pleased to see continued improvement in our sales trends,” Mansell said. “Our back-to-school season was strong, followed by a soft September and progressive improvement throughout October. We are encouraged by these trends as we enter the holiday season. Our teams did an excellent job managing inventory. Expenses were also well-controlled as substantially all teams outperformed their plans.”
Kohl’s now has 1,155 department stores, 12 FILA Outlet stores and three Off/Aisle clearance centers in 49 states. That’s compared to last year’s third quarter, when it had 1,166 department stores.