Kohl’s lifted its full-year 2026 guidance despite a 0.9% drop in Q2 sales to $3.3 billion, with roughly $150 million in tariff refunds booked during the quarter doing much of the work. The retailer’s marketplace is the piece growing fastest, up 88% in GMV year over year, and CFO Jill Timm told analysts that counting it would have narrowed the 0.9% comparable sales decline to 0.2%. CEO Michael Bender said Kohl’s is more than doubling its marketplace vendor and product selection this year. Online sales rose 2.8%, which the company credited to an AI shopping assistant running on Google’s Gemini that launched for back-to-school after an earlier gifting tool for Mother’s Day. Bender said use of the assistant is still small but that shoppers who try it convert better and spend more per visit.
