Macy’s Inc. (NYSE: M) reported its fiscal third-quarter financial results early on Wednesday, before the markets opened. The company said that it had $0.27 in earnings per share (EPS) and $5.4 billion in revenue, which compares with consensus estimates that called for $0.14 in EPS and revenue of $5.4 billion. In the same period of last year, the retailer said it had EPS of $0.21 and $5.28 billion in revenue.
Overall, these higher sales and earnings were driven by strong digital, continued improvement from brick and mortar and execution of the firm’s North Star strategy.
During the quarter, comparable sales (owned) increased 3.1%, compared with 3.3% on an owned-plus-licensed basis.
Looking ahead to the fiscal full year, the company expects to see comparable sales growth in the range of 2.3% to 2.5% and net sales growth of 0.3% to 0.7%, with EPS in the range of $4.10 to $4.30. Consensus estimates call for $4.07 in EPS and $24.96 billion in revenue for the full year.
Jeff Gennette, Macy’s board chair and chief executive, commented:
We are pleased with Macy’s, Inc. performance in the third quarter, marking our fourth consecutive quarter of comparable sales growth. Macy’s, Bloomingdale’s and Bluemercury all performed well. Our strategic initiatives are gaining momentum and delivering results. Another double-digit quarter from our digital business and a strong stores performance combined to help us exceed expectations. We continue to see an improved trend in brick and mortar across the fleet with particularly strong results from our Growth50 stores. The holiday season is when Macy’s truly shines. We have the right merchandise, the right marketing and the right customer experiences in place to deliver a strong fourth quarter.
Shares of Macy’s were last seen trading at $36.92, in a 52-week range of $19.33 to $41.99. The stock has a consensus analyst price target of $36.07.