People wait in line to enter Macy’s department store during Black Friday in New York City on November 25, 2022.
Yuki Iwamura | AFP | Getty Images
Macy’s shares surged Thursday, as the company said it drew holiday shoppers looking for gifts and held the line on promotions.
But the department store operator, which includes higher-end banner Bloomingdale’s and beauty chain Bluemercury, said it is still planning for a choppier year ahead.
Macy’s said it expects net sales to decline in a range of 1% to 3% in the fiscal year compared with 2022, which would translate to between $23.7 billion to $24.2 billion. It said it expects its adjusted diluted earnings per share will range from $3.67 to $4.11.
In the holiday quarter, CEO Jeff Gennette said the company was “competitive but measured in our promotions, took strategic markdowns and intentionally did not chase unprofitable sales.”
He said Macy’s is focused on refreshing its private brands, opening more off-mall stores and growing its luxury business and online marketplace.
Here’s how Macy’s did for its three-month period that ended Jan. 28 compared with what analysts were anticipating, based on Refinitiv estimates:
- Earnings per share: $1.71 vs. $1.57 expected
- Revenue: $8.26 expected vs. $8.26 billion expected
Net income for the fourth quarter fell to $508 million, or $1.83 per share, from $742 million, or $2.44 a share, a year earlier. The company reported adjusted per share earnings of $1.88. Excluding a tax benefit in the quarter, adjusted earnings per share come out to $1.71.
Comparable sales on an owned-plus-licensed basis were down 2.7% during the period from a year ago, but up 3.3% versus the fourth quarter in 2019.
The company reported adjusted earnings per share of $1.88. Excluding a tax benefit, it delivered adjusted earnings per share of $1.71, higher than the $1.57 that analysts expected, according to Refinitiv.
Macy’s results signal that sales patterns picked up in the final weeks of the quarter. In early January, the…
Read the full article here
