Skip to main content

Cost of data breach still taking toll on Target earnings

  • Author:
  • Updated:
    Original:

The massive data breach that Target weathered in December continues to be a drag on the company's bottom line.

MPR News said that Target reports a big financial hit related to the theft, first reported over the holidays. The company told its investors that breach-related costs will reach $148 million in the second quarter. Most of that will be spent to address breach-related claims, including those from payment card networks. Target's insurance will cover one quarter of that amount.

The Associated Press noted that Target stock fell 4 percent at the start of trading after the company lowered its second-quarter earnings forecast. The Business Journal notes that Target's stock was trading just under $59 a share Tuesday morning. A year ago, Target's stock was trading at $72 a share.

The Star Tribune reports that the Minneapolis-based discounter noted that comparable sales in its U.S. stores were “essentially flat” during the May-to-July quarter, with profitability cut by discounts to match competitors. At the same time, Target's Canadian stores, which have been losing money since its entry there last year, also experienced “softer than expected” sales; profit there was hurt by slashing prices to clear out inventory.

Here's Target's press release on its second quarter financial report.

Next Up

boyd huppert

Boyd Huppert, Twin Cities TV stations among Murrow Award winners

The KARE 11 personality known for his 'Land of 10,000 Stories' feature was among the national winners.

Bar beer

Study: Excessive drinking cost Minnesotans almost $8 billion in 2019

The study was published by the Minnesota Department of Health Thursday.

Disney+

Price of Disney+ is going up, unless you want ads

The ad-free version of Disney+ will increase from $7.99 per month to $10.99 per month, effective Dec. 8.

SuspectsWantedMOAShooting

Mall of America shooting suspects arrested in Chicago

The two suspects were spotted leaving a barber shop.

Flickr - minneapolis police officer close-up belt camera - Tony Webster

Walz: Increased state law enforcement presence to stay in Twin Cities

A multi-agency effort to curb crime will go on until further notice.

SuspectsWantedMOAShooting

Bloomington PD to provide update on Mall of America shooting investigation

There's unconfirmed reports the suspected gunman and an accomplice have been arrested.

Screen Shot 2022-08-11 at 3.14.27 PM

Motorcyclist found dead behind guardrail 6 hours after crash

The crash happened before sunset Wednesday, but no one called 911.

Screen Shot 2022-08-11 at 2.49.44 PM

Strike vote set for 15,000 Minnesota nurses

If the nurses walk off the job, Minnesota would be home to one of the largest nurses strikes in U.S. history.

DSC_8611

Iowa Gov. asks court to lift injunction on 'heartbeat' abortion ban

A court challenge seeks to revive Iowa's abortion ban.

zipper merge, construction

6 transportation projects in Minnesota get $100M federal funding

The projects extend to areas all across the state.

covid

Minnesota's COVID-19 update for the week ending Tuesday, August 9

The number of cases in the latest reporting period dropped compared to the previous week's update.

Related