Macy’s Inc. (NYSE:M)
Cincinnati, Ohio-based Macy’s Inc. today reported second-quarter earnings that surpassed Wall Street expectations.
Further, the retailer hiked its full-year revenue guidance to reflect a healthy consumer spending environment and its continued strong execution.
However, a sales drop of 1.1% during the quarter saw shares of the departmental store go down $2.46, or 5.88% ahead of the opening bell. Macy’s stock has gained nearly 66% since the beginning of the year, and 95% in the last 12 months.
M Earnings & Outlook
The company said it had net income of $166 million, or $0.53 per share, compared to net income of $111 million, or $0.36 per share in the same quarter a year-ago.
Excluding one-time items, the company earned $0.59 per share.
Total revenue during the quarter was $5.57 billion, compared to $5.64 billion in the second quarter of the previous year.
Thompson Reuters, based on analyst estimates, was for adjusted earnings of $0.50 per share and $5.55 billion revenue.
Same-store sales grew 0.5%, below analysts’ estimates of 0.7% drop. For the full year, the retailer sees adjusted per-share earnings of $3.95 to $4.15, from its earlier guidance of $3.75 to $3.95. Analysts expect the company to report adjusted earnings of $3.86 per share.
Macy’s CEO Comments
Commenting on the results, Chairman and Chief Executive Officer Jeff Gennette said, “Macy’s, Inc. delivered strong performance in the first half of the year, and we are pleased to report our third consecutive quarter of comparable sales growth. Macy’s, Bloomingdale’s and Bluemercury all performed well. It is encouraging to see the continued strengthening of our brick & mortar business where we saw trend improvements across the portfolio, led by our Growth50 stores. The combination of healthy stores, robust e-commerce and a great mobile experience is Macy’s recipe for success.”
Gennette added, “We are focused on improving our customer journey every step of the way because we know that our customers expect a great experience whenever and wherever they engage with our brands. We also continue to be disciplined with inventory management, which allows us to give our customers more fashion and freshness, while increasing sales and improving gross margin.”
Macy’s, Inc. Company Profile
Macy’s, Inc., is an omni-channel retail organization that operates stores, websites, and mobile applications.
It sells a wide range of merchandise, such as apparel and accessories for men, women, and children; cosmetics; home furnishings; and other consumer goods.
As of April 4, 2018, it operated approximately 690 department stores under the Macy’s and Bloomingdale’s brands; 160 specialty stores under the Bloomingdale’s The Outlet, Bluemercury, and Macy’s Backstage brands in the District of Columbia, Guam, and Puerto Rico; and Websites, including macys.com, bloomingdales.com, and bluemercury.com.
It also operates as a beauty products and spa retailer. Macy’s. Inc. was formerly known as Federated Department Stores, Inc. and changed its name to Macy’s, Inc. in June 2007.
The company was founded in 1830 by Rowland Hussey Macy Sr. Its headquarters are located in Cincinnati, Ohio. –Yahoo
