Photo: By ferret111 on flickr
According to new research from Customer Growth Partners several department stores such as Macy’s, Nordstrom and Saks posted year-over-year gains in sales for the first time since the 80’s. Department stores accounted for 2.5% of all sales for the entire retail industry in 2010.
- Earnings for Macy’s came out today ahead of analyst expectations with a net income of $667 million or $1.55 per share for the fourth-quarter compared with $445 million in the previous year.
- Macy’s sales rose 5.4% to $8.27 billion last quarter and sales at stores open at least a year climbed 4.3%
- Macy’s forecast its 2011 full-year profit to range from $2.25 to $2.30 per share while analysts are expecting an EPS of $2.27 for the year.
- Department store contributions are still lagging behind department store sales from the 90’s, which came in around 7.5%, but it does mark the first year since the 80’s where sales haven’t showed a year-over-year decline.
- These gains for department stores are following the highest mall vacancy rates seen in 2008 and 2009
- Macy’s followed Nordstom’s strong earnings delivery last week. It beat the street with net earnings of $232 million or $1.04 per share up from $172 million. Sales rose to $2.82 billion from $2.54 billion in 2009.