- Macy’s reported fourth-quarter and full-year earnings that crushed Wall Street estimates.
- Comparable store sales rose, beating expectations for a drop.
- Shares are up 10% ahead of the opening bell.
Macy’s reported fourth-quarter and full-year earnings that crushed Wall Street estimates, sending shares up 10% ahead of Tuesday’s opening bell.
The retailer earned $US4.31 a share during the fourth quarter as revenue edged up 1.8% to $US8.66 billion. Wall Street was looking for $US2.68 a share on revenue of $US8.66 billion. Comparable store sales on an owned plus licensed basis climbed 1.4%, topping the 0.6% drop that was expected.
For the full year, the retailer earned a diluted $US5.04, up from $US1.99 the year before.
“Macy’s, Inc. had a solid fourth quarter, including strong performance in January, and the full year exceeded our expectations for annual comparable sales and adjusted earnings per diluted share,” CEO Jeff Gennette said in the press release. “We are encouraged to see a trend improvement in our brick & mortar business, and we had the 34th consecutive quarter of double-digit growth in our digital business.”
Looking ahead, Macy’s sees revenue down between 0.5% and 2% in fiscal 2018 and adjusted earnings per diluted share of $US3.55 to $US3.75.
Macy’s is up 20% this year, including Tuesday’s gain.