Target suffered a significant drop in third quarter sales after consumers rebelled against the retailer for its scandalous LGBT-themed merchandise.

“As we navigate an ever-changing operating and social environment, we are applying what we learned,” Brian Cornell, Target’s longtime chief executive, told reporters on a call. “Multiple economic crosscurrents are putting pressure on consumers.”

Sales dipped in June after the Target rolled out its Pride collection, which featured pro-gender transition clothing such as a “tuck-friendly” swimsuit to obscure male genitalia and children’s items from a brand that sells Satanist-inspired products.

Target was fully aware of brand Abprallen’s Satanist-inspired merchandise, some of which glorifies violence against alleged “transphobes,” when it approved the collaboration.

Target’s poor sales performance in July defied even company projections, clocking in at a 5.4 percent decline in the three months ending July 29.

In May, after news of Target’s 2023 Pride rollout reached consumers, the company lost billions in market value amid conservatives called to boycott the retail giant.

Target lost $9 billion in market value in about a week, with the stock falling from just over $160.00 to about $141.00 a share, amounting to a 12 percent drop. Target stock has decreased 16 percent so far this year.

The company expects the sales drag to continue into the fourth quarter.

Target will continue to offer Pride-month merchandise but will change the items on offer, Target Chief Growth Officer Christina Hennington said on the call.

“You will see us celebrate Pride, you will see us celebrate these heritage moments, but with these modifications,” she said.

In 2022, Target reported an annual $109 billion in total revenue, a 2.9 percent increase from the previous year.