Filing Flows › Target (TGT) › Q1 FY27 › vs Q1 FY26
Target (TGT) Q1 FY27 vs Q1 FY26 (year over year)
Target's revenue rose $1.6B (+7%) from $23.8B in Q1 FY26 to $25.4B in Q1 FY27. The biggest changes: Product +$1.5B (+6%); Advertising revenue +$83.0M (+51%); Other +$36.0M (+26%). Operating margin 4.5% against 6.2% (-1.7 pts).
Target, Q1 FY27: revenue $25.4B (+7% year over year), operating margin 4.5%, net earnings $781M, operating cash flow $716M. The chart draws each line against Q1 FY26, the increases inside each band.
Margins
| Q1 FY27 | Q1 FY26 | Change | |
|---|---|---|---|
| Operating margin | 4.5% | 6.2% | -1.7 pts |
| Net margin | 3.1% | 4.3% | -1.3 pts |
Every line
| Line | Q1 FY27 | Q1 FY26 | Change | % |
|---|---|---|---|---|
| Food & beverage | $6.3B | $5.9B | $361M | +6% |
| Household essentials | $4.6B | $4.4B | $213M | +5% |
| Apparel & accessories | $3.8B | $3.7B | $135M | +4% |
| Hardlines (Fun 101) | $3.5B | $3.1B | $448M | +15% |
| Beauty | $3.4B | $3.1B | $297M | +10% |
| Home furnishings & décor | $3.2B | $3.2B | $19.0M | +0.6% |
| Product | $24.8B | $23.4B | $1.5B | +6% |
| Advertising revenue | $246M | $163M | $83.0M | +51% |
| Other | $173M | $137M | $36.0M | +26% |
| Credit card profit sharing | $130M | $141M | −$11.0M | -8% |
| Other merchandise sales | $56.0M | $40.0M | $16.0M | +40% |
| Revenue | $25.4B | $23.8B | $1.6B | +7% |
| Operating profit | $1.1B | $1.5B | −$337M | -23% |
| Costs & expenses | $24.3B | $22.4B | $1.9B | +9% |
| Pre-tax earnings | $1.0B | $1.4B | −$349M | -25% |
| Other expense, net | $102M | $90.0M | $12.0M | +13% |
| Cost of revenue | $18.1B | $17.1B | $933M | +5% |
| SG&A | $5.6B | $4.6B | $971M | +21% |
| Other operating costs | $685M | $655M | $30.0M | +5% |
| Net earnings | $781M | $1.0B | −$255M | -25% |
| Income tax | $252M | $346M | −$94.0M | -27% |
| Operating cash sources | $1.6B | $1.9B | −$244M | -13% |
| Depreciation & amortization | $813M | $787M | $26.0M | +3% |
| Share-based compensation | $54.0M | $69.0M | −$15.0M | -22% |
| Working capital & other | $932M | $1.6B | −$685M | -42% |
| Operating cash flow | $716M | $275M | $441M | +160% |
| Capital expenditures | $1.0B | $790M | $245M | +31% |
| Negative free cash flow (OCF − capex) | $319M | $515M | −$196M | -38% |
Questions
How much did Target's revenue grow year over year in Q1 FY27?
Target's revenue rose $1.6B (+7%) from $23.8B in Q1 FY26 to $25.4B in Q1 FY27.
What drove Target's revenue change in Q1 FY27?
Product +$1.5B (+6%); Advertising revenue +$83.0M (+51%); Other +$36.0M (+26%).