Filing Flows › Target (TGT) › Q2 FY27 › vs Q2 FY26
Target (TGT) Q2 FY27 vs Q2 FY26 (year over year)
Target's revenue rose $1.3B (+5%) from $25.2B in Q2 FY26 to $26.5B in Q2 FY27. The biggest changes: Product +$1.2B (+5%); Advertising revenue +$62.0M (+29%); Other +$33.0M (+23%). Operating margin 9.6% against 5.2% (+4.4 pts).
Target, Q2 FY27: revenue $26.5B (+5% year over year), operating margin 9.6%, net earnings $1.9B, operating cash flow $3.8B. The chart draws each line against Q2 FY26, the increases inside each band.
Margins
| Q2 FY27 | Q2 FY26 | Change | |
|---|---|---|---|
| Operating margin | 9.6% | 5.2% | +4.4 pts |
| Net margin | 7.1% | 3.7% | +3.4 pts |
| Free cash flow margin | 9.2% | 4.0% | +5.2 pts |
Every line
| Line | Q2 FY27 | Q2 FY26 | Change | % |
|---|---|---|---|---|
| Food & beverage | $6.0B | $5.6B | $403M | +7% |
| Household essentials | $4.6B | $4.4B | $195M | +4% |
| Apparel & accessories | $4.1B | $4.1B | $4.0M | +0.1% |
| Hardlines (Fun 101) | $3.9B | $3.5B | $372M | +11% |
| Home furnishings & décor | $3.7B | $3.7B | $6.0M | +0.2% |
| Beauty | $3.6B | $3.4B | $243M | +7% |
| Product | $25.9B | $24.7B | $1.2B | +5% |
| Advertising revenue | $279M | $217M | $62.0M | +29% |
| Other | $174M | $141M | $33.0M | +23% |
| Credit card profit sharing | $139M | $134M | $5.0M | +4% |
| Other merchandise sales | $48.0M | $43.0M | $5.0M | +12% |
| Revenue | $26.5B | $25.2B | $1.3B | +5% |
| Operating profit | $2.6B | $1.3B | $1.2B | +94% |
| Costs & expenses | $24.0B | $23.9B | $85.0M | +0.4% |
| Pre-tax earnings | $2.5B | $1.2B | $1.2B | +102% |
| Other expense, net | $101M | $99.0M | $2.0M | +2% |
| Cost of revenue | $17.6B | $17.9B | −$300M | -2% |
| SG&A | $5.7B | $5.4B | $366M | +7% |
| Other operating costs | $651M | $632M | $19.0M | +3% |
| Net earnings | $1.9B | $935M | $942M | +101% |
| Income tax | $582M | $283M | $299M | +106% |
| Depreciation & amortization | $784M | $771M | $13.0M | +2% |
| Share-based compensation | $100M | $64.0M | $36.0M | +56% |
| Working capital & other | $1.0B | $313M | $729M | +233% |
| Operating cash flow | $3.8B | $2.1B | $1.7B | +83% |
| Free cash flow (OCF − capex) | $2.4B | $1.0B | $1.4B | +141% |
| Capital expenditures | $1.4B | $1.1B | $295M | +27% |
Questions
How much did Target's revenue grow year over year in Q2 FY27?
Target's revenue rose $1.3B (+5%) from $25.2B in Q2 FY26 to $26.5B in Q2 FY27.
What drove Target's revenue change in Q2 FY27?
Product +$1.2B (+5%); Advertising revenue +$62.0M (+29%); Other +$33.0M (+23%).