Overview

• Q2 net sales rose 3.3% to $1.60 billion with comps up 0.2%, while net income fell 12.1% to $125.4 million and adjusted EPS slipped to $1.94.
• The quarter came in slightly below consensus for both revenue and adjusted EPS.
• Full‑year guidance was refined to $6.00–$6.27 billion in net sales, and adjusted EPS guidance was raised to $5.60–$6.30.
• Executives cited tariff mitigation steps including vendor cost sharing, shifting country of origin, adjusting unit buys, pulling domestic inventory, and using pricing tools.
• The stock fell 7.6% to close at $49.50 as analysts adjusted targets, including Truist to $50, Wells Fargo to $57, and Telsey reiterating $65.