Target falls flat, fourth-quarter profit plummets 41 percent
More bad news for Minneapolis-based Target. The company announced a fourth-quarter profit drop of 41 percent. We're still shocked how much people love Wal-Mart.
Target earned $609 million, or 81 cents per share, in the quarter ended Jan. 31, says the Associated Press.
Last year's fourth quarter brought in $1.03 billion, or $1.23 per share. Revenue also fell 1.6 percent to $19.02 billion. Stores that have been open at least a year saw a 5.9 percent decrease, but new stores help to offset that.
Target continues to suffer in part because of their credit card business. The business saw a one-time, pre-tax loss of $135 million.
Wal-Mart appears to be faring much better in the tough economy, but still posting decreases in earnings. Wal-Mart's fourth-quarter profit fell 7.4 percent to $3.79 billion, or 96 cents per share, according to the AP. Last year, Wal-Mart saw $4.096 billion in the fourth quarter, or $1.02 per share.