People wear facemasks as they walk through Herald Square on January 8, 2021 in New York City.
Angela Weiss | AFP | Getty Images
Macy’s on Tuesday reported its first quarterly profit in a year, as its efforts to slash inventories during the holiday quarter and rely less on deep discounting paid off.
Its shares were up more than 2% in premarket trading.
Here’s how the company did during the fourth quarter ended Jan. 30, compared with what analysts were anticipating, based on a poll by Refinitiv:
- Earnings per share: 80 cents, adjusted, vs. 12 cents, expected
- Revenue: $6.78 billion vs. $6.5 billion, expected
Net income for the quarter ended Jan. 30 fell to $160 million, or 50 cents per share, from $340 million, or $1.09 per share, a year earlier. Excluding one-time charges, the company earned 80 cents per share, better than the 12 cents expected by analysts.
Sales fell to $6.78 billion from $8.34 billion a year ago. That came in better than the $6.5 billion that analysts were expecting.
Macy’s said its same-store sales, on an owned plus licensed basis, fell 17.1% from 2019 levels. Analysts were calling for a 21.3% drop, according to Refinitiv data.
E-commerce sales were up 21%, and the company announced it plans for its annual online sales will eclipse $10 billion within the next three years.
CEO Jeff Gennette remarked the company saw the most strength in home, beauty, jewelry and watches during the quarter.
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