Kohl's Tuesday raised its annual forecasts for the second time this year, as the company banks on new collections and promotions across categories to drive demand during the holiday season while navigating top-level changes.

Shares of the company surged about 21% in premarket trading.

The retailer as part of its turnaround efforts has been focusing on adding more coupon eligible brands to its shelves and investing in proprietary brands to attract value-focused customers from the lower- and middle-income groups.

The company expects fiscal 2025 adjusted earnings per share to be between $1.25 and $1.45, compared with the prior range of 50 cents to 80 cents per share.

Kohl's, which named Michael Bender as permanent CEO on Monday, said it expects fiscal 2025 sales to decline in the range of 3.5% to 4%, compared with the prior forecast of a decrease of 5% to 6%.