Target CEO Resigns Amid Falling Sales
Target CEO Resigns Amid Falling Sales
The News
Target CEO Brian Cornell is stepping down next year after over a decade at the helm as the embattled retailer undertakes a high-stakes turnaround effort aimed at reigniting growth and reversing sliding sales.
The Minneapolis-based company’s board of directors unanimously elected Michael Fiddelke, the company’s current chief operating officer, to succeed Cornell and become a member of its Board of Directors on Feb. 1, the company announced Wednesday.
In its latest fiscal quarter, the company reported $25.2 billion in sales, down just under 1% from a year ago.
The company blamed the dip on shoppers pulling back on merchandise, though that was partly balanced out by stronger non-merchandise sales, like services.
Sales at stores open at least a year fell nearly 2%, with in-store sales dropping more than 3%. Online sales, however, grew a little over 4%. Overall, profit for the quarter came in at $1.3 billion, which was down about 19% from last year.
Timeline
The news comes as Cornell, 66, wraps up the three-year commitment he made in 2022 to remain CEO.
Reactions
“It is clear that Michael is the right leader to return Target to growth, refocus and accelerate the company’s strategy, and reestablish Target’s position as a leader in the highly dynamic and fast-moving retail environment,” Christine Leahy, lead independent director of Target’s Board of Directors, said.
Leahy said Fiddelke’s tenure gives him unmatched enterprise insight and a foundation of strong team trust, noting that “what sets him apart is how he combines those strengths with a ‘fresh eyes’ mindset, challenging the status quo to evolve how the business operates, differentiates and delivers long-term value.”
What's Next
Target is maintaining its expectation of a low-single digit decline in sales for fiscal 2025, down from its previous forecast of net sales growth of about 1%. It expects adjusted earnings per share to be approximately $7 to $9 for fiscal 2025, down from its prior expectation of $8.80 to $9.80.
More
That year, Target’s board scrapped its mandatory retirement age of 65, allowing him to stay on during a pivotal period for the company as it worked to revive traffic and growth.
Over the past 20 years at Target, Fiddelke, 49 years old, has been credited with being instrumental in building many of the company’s core strengths, holding leadership roles across merchandising, finance, operations and human resources.
In his current position, Target said Fiddelke has overseen efforts that enabled exponential growth across the business, including investments to build and scale the company’s stores, supply chain, digital capabilities and team. He also spearheaded enterprise efforts to deliver more than $2 billion in efficiencies.
The company had already warned earlier this year that there would be year-over-year profit pressure in its first quarter relative to the remainder of the year, due in part to tariff uncertainty.
To try to get back to long-term profitable growth, the company announced in May that it had developed a new multi-year growth initiative, called Enterprise Acceleration Office, and made changes to its executive suite.
The Enterprise Acceleration Office initiative will specifically help the company operate more nimbly, “creating conditions for speed, adaptability, innovation and resilience,” Cornell said.
UMass Dartmouth Running Back, 18, Stabbed to Death
Trump Vows 'AI Force,' Czar; Polls Name Change
Sep 20, 2026
Iran Sends Trump Three Conditions to End War
Sep 19, 2026
Faulty AI Intel Nearly Started War With China
Sep 19, 2026
German General Breuer Elected NATO's Top Officer
Sep 19, 2026
Nobel Laureate: War, Sanctions Crushing Iranians
Sep 19, 2026
Dutch Police Disperse Violent Far-Right Hague Protest
Sep 19, 2026
GOP Midterm Odds Fade With 45 Days Left
Sep 19, 2026
Maher Rejects Tarlov's Claim Democrats Are Less Crazy
Sep 19, 2026
Patrick Clancy Breaks Silence After Ex-Wife Killed Kids
Sep 19, 2026
Trump Cuts Park Staff, Diverts Fees to DC
Sep 19, 2026
Holocaust Heirs Sue LA Museums Over Looted Art
Sep 19, 2026
Trump's Fed Chair Hikes Rates, Defying White House
Sep 19, 2026
Miller Drives Push to Deport Illegal Immigrant Children
Sep 19, 2026
US Lifts Sanctions on Eritrea's Military, Ruling Party
Sep 19, 2026
Air Force Admits US Has Space Weapons
Sep 19, 2026
Turkey Revokes License of Iran's Mellat Bank
Sep 19, 2026
Billionaire Ratcliffe Blasts Britain Over Immigration, Taxes
Sep 19, 2026
Navajo Nation Flash Flood Kills Three
Sep 19, 2026
Explosions Over Riyadh Trigger Saudi Air Alerts
Sep 19, 2026
Sep 19, 2026