Macy's Issues Guidance

(RTTNews) - Macy's, Inc. (M) said it anticipates that the heightened level of uncertainty within the macroeconomic environment will continue in 2023. The company is taking a prudent approach to its outlook. For fiscal 2023, the company projects adjusted earnings per share in a range of $3.67 - $4.11. Comparable owned plus licensed sales change, on 52 week basis, is expected to be down 4% to down 2% from 2022. Net sales are projected to be $23.7 billion to $24.2 billion, down 3% to down 1% from 2022.

For the first quarter, Macy's expects adjusted EPS of $0.42 to $0.48, and net sales of $5.0 billion to $5.1 billion.

Fourth quarter adjusted earnings per share was $1.88, which included a $46 million discrete income tax benefit, or $0.17 per share, related to the favorable resolution of a state income tax litigation. This is compared to adjusted earnings per share of $2.45 in the fourth quarter of 2021. Analysts on average had expected the company to earn $1.57 per share, according to figures compiled by Thomson Reuters. Analysts' estimates typically exclude special items.

Net income declined to $508 million from $742 million, prior year. Earnings per share was $1.83 compared to earnings per share of $2.44, a year ago.

Fourth quarter net sales were $8.3 billion, down 4.6% versus the fourth quarter of 2021. Digital sales decreased 9%. Comparable sales were down 3.3% on an owned basis and down 2.7% on an owned-plus-licensed basis versus the fourth quarter of 2021. Analysts on average had estimated $8.25 billion in revenue.

Shares of Macy's are up 9% in pre-market trade on Thursday.

For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com.