Macy’s slashes its full-year outlook even as earnings beat

In this article

The Macy’s company signage is seen at the Herald Square store on March 02, 2023 in New York City. 
Michael M. Santiago | Getty Images

Macy’s on Thursday beat Wall Street’s earnings expectations, but cut its full-year guidance after discretionary sales weakened significantly in March.

The department store operator, which includes its namesake brand, Bloomingdale’s and beauty chain Bluemercury, said it now expects sales of $22.8 billion to $23.2 billion for the year, down from a previous range of $23.7 billion to $24.2 billion. Macy’s anticipates comparable owned-plus-licensed sales will fall 6% to 7.5% during the period, worse than its previous outlook of a 2% to 4% decline.

For the year, it expects adjusted earnings per share of $2.70 to $3.20 — a major reduction from the previous $3.67 to $4.11 a share guidance.

Here’s how Macy’s did for the three-month period that ended TK compared with what Wall Street was anticipating, based on a survey of analysts by Refinitiv:

  • Earnings per share: 56 cents adjusted vs. 45 cents expected
  • Revenue: $4.98 billion vs. $5.04 billion expected

Net income for Macy’s was $155 million, or 56 cents per share, compared with $286 million, or 98 cents per share, a year earlier.

Revenue fell about 7% to $4.98 billion from $5.35 billion in the year-ago period. Sales missed analysts’ forecast.

Shares of Macy’s closed Wednesday at $13.59, bringing the company’s market value to $3.69 billion. So far this year, the company’s stock is down 34%. That lags behind the nearly 9% gains of the S&P 500 and approximately 6% loss of the retail-focused XRT during the same period.

This is breaking news. Please check back for updates.

Articles You May Like

AI is policing the package theft beat for UPS as ‘porch piracy’ surge continues across U.S.
Pro Tips On Getting Your Kitchen Ready For Healthy Holiday Cooking And Entertaining
Stocks making the biggest moves premarket: Carnival, Deere, Super Micro Computer and more
Don’t Let The IRS And Congress Decide Your IRA Strategies
For U.S. Territories, IRA Tax Credits Remain A Complicated Question

Leave a Reply

Your email address will not be published. Required fields are marked *