Dive Brief:

• Target reported a 65% profit drop in its second quarter on Wednesday, and also cut its annual profit outlook for the full year. 
• The news comes after the retailer cut its second quarter earning estimate earlier this month, blaming weak sales in Canada and high discounting. 
• Total sales at the company rose 1.7% in the quarter, with net profit falling to $234 million from $611 million a year earlier. 

Dive Insight:

Target's price cuts and less-than-stellar expansion into Canada have only contributed to the sales drop it's experiencing during the fallout from its now-infamous holiday-season data breach. Although daunting, the retailer is taking steps to recover, recently naming an outsider as its CEO, expanding store hours, and making moves to expand its e-commerce capabilities. The latter effort is significantly important for Target, as analysts say that it is behind in the tech game to win over omni-channel shoppers.