People wear masks as they walk through Herald Square on January 8, 2021 in New York City.
Angela Weiss | AFP | Getty Images
Macy’s on Tuesday reported fiscal fourth-quarter earnings and sales that beat analysts’ estimates and said a strategic review prompted the retailer to accelerate turnaround plans.
It rejects calls from activist firm Jana Partners to separate its e-commerce operations from its stores, following a similar move by Saks Fifth Avenue.
During the holiday season, the department store chain said it attracted around 7.2 million new customers. Chief executive Jeff Gennette said the department store chain was able to deliver strong results despite Covid-19-related disruptions, supply chain issues, labor shortages and inflation high.
Here’s how Macy’s fared in the fourth quarter compared to what analysts expected, based on a survey compiled by Refinitiv:
- Earnings per share: $2.45 adjusted vs. $2 expected
- Revenue: $8.67 billion vs $8.47 billion expected
Net income for the three months ended Jan. 29 rose to $742 million, or $2.44 per share, from $160 million, or 50 cents per share, a year earlier. Excluding one-time items, the retailer earned $2.45 a share, better than the $2 analysts were looking for.
Revenue reached $8.67 billion from $6.78 billion a year earlier, beating expectations of $8.47 billion.
Same-store sales, on an owned-plus-licensed basis, increased 27.8% year-over-year. The measure increased by 6.1% on a two-year basis.
Macy’s shares are down about 2% year-to-date as of Friday’s market close. Its market cap is $7.7 billion.
Find the full press release on the results here.
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