Kohl's sales beat estimates on strong back-to-school season

[November 12, 2015]  (Reuters) - Department store operator Kohl's Corp <KSS.N> reported better-than-expected quarterly net sales, helped by strong back-to-school sales, sending the company's shares up 11 percent in premarket trading on Thursday.

Kohl's same-store sales rose 1 percent in the third quarter, in line with the average estimate of analysts polled by research firm Consensus Metrix.

A surprise drop in comparable sales in the quarter at rival Macy's Inc <M.N> had set alarm bells ringing in the department store industry and hit shares of Kohl's, Nordstrom Inc <JWN.N> and J.C. Penney Co Inc <JCP.N> on Wednesday.

Kohl's net income fell to $120 million, or 63 cents per share, in the quarter ended Oct. 31, from $142 million, or 70 cents per share, a year earlier.

Excluding items, the company earned 75 cents per share.

Net sales rose 1.2 percent to $4.43 billion.

Analysts on average had expected earnings of 69 cents per share on revenue of $4.40 billion, according to Thomson Reuters I/B/E/S.

(Reporting by Sruthi Ramakrishnan in Bengaluru; Editing by Savio D'Souza and Maju Samuel)

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