The entrances at Macy’s are decorated with Christmas decorations on December 04, 2020 in New York City.
Roy Rochlin | Getty Images Entertainment | Getty Images
Macy’s on Thursday reported fiscal third-quarter earnings and sales that topped analysts’ expectations, leading the department store chain to raise its full-year forecast ahead of the holidays.
Macy’s shares jumped about 5% in premarket trading on the news, having closed Wednesday down 4.5%.
CEO Jeff Gennette said Macy’s added 4.4 million new customers in the quarter and benefited from an “improved economic environment.”
Here’s how Macy’s did in the three-month period ended Oct. 30 compared with what analysts were anticipating, based on a survey by Refinitiv:
- Earnings per share: $1.23 adjusted vs. 31 cents expected
- Revenue: $5.4 billion vs. $5.2 billion expected
Macy’s reported net income of $239 million, or 76 cents per share, compared with a loss of $91 million, or 29 cents a share, a year earlier. Excluding one-time items, the company earned $1.23 per share, better than the 31 cents that analysts had predicted.
Sales grew to $5.4 billion from $3.99 billion a year earlier. That came in ahead of estimates for $5.2 billion.
Macy’s reported comparable sales growth, on an owned plus licensed basis, of 35.6% in the quarter. Analysts had been looking for growth of 29.3%, according to Refinitiv estimates.
The company now sees 2021 revenue ranging between $24.12 billion and $24.28 billion, compared with a prior range of $23.55 billion to $23.95 billion.
It expects full-year adjusted earnings per share to hit $4.57 to $4.76, up from a prior forecast of $3.41 to $3.75.
Analysts had been looking for adjusted earnings per share of $3.89 on revenue of $23.78 billion.
Macy’s stock has rallied more than 174% year to date. The retailer has a market value of $9.55 billion.
Find the full press release from Macy’s here.
This story is developing. Please check back for updates.
