Target lost almost $1-billion on its Canadian expansion last year

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Target’s substantial Canadian expansion has hurt its bottom line. The company lost close to $1-billion last year that it attributes to its Canadian expansion and its less-than-expected retail sales. 

In 2013, Target Canada had sales of about $1.3-billion with a gross margin rate of only 14.9% and an operating loss of about $941-million. Canadian operations reduced Target’s full-year per-share earnings by $1.13.

For more on this interesting development, we direct you to Hollie Shaw’s comprehensive article at The Financial Post. 

Craig Patterson
Craig Patterson
Located in Toronto, Craig is the Publisher & CEO of Retail Insider Media Ltd. He is also a retail analyst and consultant, Advisor at the University of Alberta School Centre for Cities and Communities in Edmonton, former lawyer and a public speaker. He has studied the Canadian retail landscape for over 25 years and he holds Bachelor of Commerce and Bachelor of Laws Degrees.

2 COMMENTS

  1. As a general rule, I’d rather go to Walmart than Target, even though Target is two minutes driving from my house. Walmart is fifteen.

    Target really annoys me because they have absolutely NO music in the background.

  2. As a general rule, I’d rather go to Walmart than Target, even though Target is two minutes driving from my house. Walmart is fifteen.

    Target really annoys me because they have absolutely NO music in the background.

    From what I’ve been able to ascertain, Target hasn’t been well received here in Edmonton.

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