Kohl's sales dampened by weak discretionary spending, shares fall 8%

Kohl's reported quarterly revenue of $3.32 billion, compared with analysts' estimate of $3.35 billion, according to data compiled by LSEG.

Its comparable sales fell 0.9% after dropping 4.2% a year ago.

"The fact that comparable sales remain in decline – the eighteenth consecutive quarter when they have dipped – does not convince us that Kohl's is a business in full recovery," said Neil Saunders, managing director of GlobalData, adding that Kohl's is still losing market share across major categories.

The company, however, raised its annual profit forecast after benefiting from $150 million in tariff refunds received during the reported quarter and also said it would resume its about $100 million share repurchase program this year.

The mid-tier retailer has been in the midst of a long-running turnaround aimed at reviving demand and lifting margins.