In the wake of organized crime and theft, retail colossus Target has warned of a projected $1.3 billion dent in its profits, as revealed in its Q1 earnings report on Wednesday.
The Minneapolis-headquartered retailer anticipates a surge in losses due to “inventory shrink,” amounting to $500 million more than the preceding year. In 2022, such losses totalled a staggering $800 million. Inventory shrink refers to the discrepancy between the reported inventory catalog and the actual products present on the shelves.
“Theft and organized retail crime are increasingly important drivers of the issue,” the company stated, pledging significant investments in preventative strategies.
A company spokesperson expressed Target’s commitment to collaborating with lawmakers, law enforcement, and industry peers to promote public policies that effectively tackle retail theft and organized crime.
Despite the persistent theft issue, the company’s earnings report highlighted a 0.5% increase in sales, largely credited to the opening of new locations, and a nearly 1% upsurge in customer traffic.
Shares of Target saw a morning trading surge of over 2%, reaching an approximate value of $160.
However, the substantial hit to profits threatens the continued operation of some of Target’s nearly 2,000 stores, as per the earnings report.
In 2022, Target inaugurated 23 new stores nationwide, with ambitious plans for 40-plus more across California, New York, Florida, and Texas, as stated on its website.
Nevertheless, the company grapples with the escalating issue of audacious shoplifting at Target locations nationwide, with organized groups systematically pilfering merchandise.
A telling case comes from a downtown San Francisco Target, where employees report thefts occur every 10 minutes. A store worker, preferring to stay anonymous, told The San Francisco Standard, “Look in some corner of the store, and you’ll see people shoveling stuff into a bag — food, cosmetics.”
In response, commonplace items such as deodorant, toothbrushes, makeup, and snacks are now safeguarded behind plastic enclosures. At the Metreon-based Target, near Union Square, only lipstick and nail polish remained accessible, becoming an easy target for shoplifters.
(YWN World Headquarters – NYC)
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6 Responses
Too funny whomever wrote the headline for this article didn’t bother to read it. IBID “…Despite the persistent theft issue, the company’s earnings report highlighted a 0.5% increase in sales, largely credited to the opening of new locations, and a nearly 1% upsurge in customer traffic.
Shares of Target saw a morning trading surge of over 2%, reaching an approximate value of $160.”.
If Target was smart, they would close all retail outlets in New York and California, and any other states that promote this kind of behavior by systematically allowing repeat offenders on the streets.
So shoplifting began under Biden? Never knew, thought this had been going on for centuries.
So how is Biden a part of this?
Keep voting for those filthy treasonous Marxist America hating criminally insane DemonRats, and we will find all of America closed down, finished, bankrupt,kaput.
The problem is the people who buy stolen and fenced goods in the Internet. If some bargain looks too good to be true, the stuff is probably hot merchandise.
Biden should order the FBI to crack down on the fencing rings and the Internet sites they sell on. And even prosecute their customers who buy the hot stuff.