Kohl's Corp. posted an approximately 500-basis-point sequential comp acceleration in footwear in its second quarter, the category's most significant quarter-over-quarter gain, as fresh inventory and deeper buys in core active brands Nike and Adidas began to correct a business that lagged overall company performance.

The figures came from CEO Michael Bender on the retailer's Q2 earnings call last month, and management expanded on the recovery trajectory Monday at an investor meeting hosted by Telsey Advisory Group, where Bender, CFO Jill Timm and director of investor relations Trevor Novotny took questions. Telsey's chief investment officer summarized the takeaway in a note: Kohl's footwear assortment is getting healthier.

"There is renewed momentum in footwear," she said, citing "improved performance from brands such as Nike and Skechers." She also flagged boots as "an important opportunity in the back half" this year — a direct contrast with 2023's comparable period, when challenging product availability and the tariff environment constrained the category.

Tariff recovery drives boot reinvestment

The tariff constraint is now an explicit reinvestment target. "Looking ahead, we are reinvesting in women's boots to capture the demand unfulfilled last year because of tariff constraints," Bender told investors on the Q2 call. "We anticipate this category will serve as a positive driver in the fall."

The recovery has been gradual rather than sudden. In May, when Kohl's reported first-quarter results, Bender said footwear underperformed the company overall, but he told investors at the time that improvement should follow as the retailer brought in "newness and more depth for back-to-school." That newness included Nike's V5 Runner and Court Vision low sneakers, plus expanded Adidas assortments. Proprietary brands — Apartment 9 in men's and LC in women's — covered casual price points.

By Q2, the inventory strategy was showing through in comps. Bender said footwear momentum built across the quarter as the retailer brought in "fresh inventory and enhanced depth in core active brands like Nike and Adidas." Kids' footwear ran up mid-single digits.

Timm, the finance chief, pointed to active footwear as the rebound leader, "particularly in performance and any newness that's setting on the floor" — an indication that speed-to-floor on launches, not just depth on carryover styles, is driving the category's turn.

Second-half inventory positioning

For the back half, management anticipates increased proprietary brand inventory alongside a stronger home and footwear assortment, among other seasonal positioning. On pricing, Telsey's note said Kohl's is "building in flexibility for Q4 with promotions to keep pace with the competitive environment" — language that signals a promotional holiday quarter rather than margin defense through full-price selling.

That posture matches what the retailer observed in back-to-school, when consumers prioritized value and promotional events. Telsey said the investor meeting disclosed that while consumers face significant headwinds, they continue to shop when Kohl's offers value, newness and innovation. The private label portfolio is filling part of that need as shoppers optimize for value and quality simultaneously.

"More broadly, Kohl's is finding the product pipeline is becoming healthier, with greater innovation and newness entering the assortment," Telsey's chief investment officer concluded.

For vendors, the read is straightforward: Kohl's is rewarding brands that can deliver launch product and replenishment depth in active footwear, and it is allocating open-to-buy toward women's boots to recapture demand it could not fill last year under tariff pressure. The test comes in Q4, when promotional flexibility meets a consumer still trading on value — and when the boot reinvestment either converts to comp gains or joins the discount cycle.