Target reports biggest sales surge due to online demand

On Wednesday, Target Corp (TGT.N) reported its biggest second-quarter sales growth as it attracted millions of new customers online. The retail company announced that its same-store revenue went up by 80.3% to $1.7 billion.

Most consumers purchased videogames, kitchenware, and clothes amid the coronavirus pandemic using Target’s same-day delivery services.

According to Institutional Brokers Estimate System (IBES) data from Refinitiv, Target’s comparable sales, which include online and store sales, jumped by 24.3% in the second quarter surging past the analysts’ average estimate of an 8.2% increase.

“The biggest change we saw from Q1 to Q2 … was the exceptional growth we saw in in-store shopping in an environment where many Americans were turning to digital to fulfill their needs,” Target’s Chief Executive Officer Brian Cornell said in an interview with the reporters.

“As we move into Q4, we can expect a hard-fought election and a holiday season that, like so much of this year, is likely to be unprecedented,” Cornell added.

Target’s shares jumped by 5% in premarket trading.