Kohl's Names a New CEO

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Kohl's picks a new CEO, Skechers reports earnings for the most recent quarter and NRF says a recession in 2023 is unlikely.

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Kohl’s Names Tom Kingsbury CEO

Kohl’s has named Tom Kingsbury as CEO, effective Thursday. The executive has served as interim CEO since former chief Michelle Gass left the role in early December to join Levi Strauss & Co. as president and CEO-in-waiting.

Kingsbury joined the Kohl’s board in 2021 as part of an agreement with Kohl’s activist investor Macellum. He also previously served as the president and CEO of Burlington Stores, Inc. until 2019.

Zoom out: Kingsbury officially takes the helm of Kohl’s a week after the retailer cut less than 60 positions across the company as it grapples with softer demand due to inflation.

Skechers Sales Drop 23% in China in Q4

Skechers sales in China dropped 23% in Q4, in part due to Covid-19 related restrictions and temporary store closures in November.

Despite the slowdown, Skechers’ chief operating officer David Weinberg said in a statement that momentum will likely pick up in 2023, following recent improvements in the region. China relaxed some of its zero-COVID policies and travel restrictions in recent months, which should bode well for brands like Skechers that have a large presence in the region.

Big picture: Skechers delivered better-than-expected results for the fourth quarter, with total sales of $1.88 billion and diluted earnings per share of $0.48.

NRF: Recession Unlikely in 2023

The U.S. economy will likely be able to avoid a recession — and even potentially see growth — in 2023.

That’s according to the National Retail Federation ’s chief economist Jack Kleinhenz, who said the economy appears “more resilient than expected” in his monthly economic review for February.

Context: The Federal Reserve on Wednesday raised interest rates another 0.25% as the body looks to continue to combat inflation, which has begun to show signs of cooling. At the same time, a hot labor market means a higher likelihood of wage inflation, as companies compete to hire and maintain talent, which could drive inflation.

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