Kohl's Chief Executive Officer Michael Bend stated that the company expects no store closures in 2026, but instead will focus on optimizing its over 1,150 existing profitable stores. Previously, the company closed 27 underperforming stores in 2025. The 2026 financial report shows that sales challenges remain severe, with fourth quarter net sales declining 3.9% to $5 billion and full-year sales declining 4% to $14.8 billion, primarily due to weak foot traffic. However, improvements in cost control enabled the fourth quarter to achieve $125 million in profit. The company projects 2026 sales will decline 2% to flat.