85 406
Fashion Jobs
NEIMAN MARCUS
Senior Manager, Fulfillment Operations
Permanent · PITTSTON
NEIMAN MARCUS
Loss Prevention Investigator- Charlotte
Permanent · CHARLOTTE
LULULEMON
Visual Merchandising Specialist | Toledo Local
Permanent · TOLEDO
LULULEMON
Community Specialist | Martha's Vineyard
Permanent · EDGARTOWN
LULULEMON
Community Specialist | Market Street, Lynnfield
Permanent · LYNNFIELD
LULULEMON
Expeditor (9pm - 2am) | Scottsdale Fashion Square
Permanent · SCOTTSDALE
LULULEMON
Visual Merchandising Specialist | University Place, Orem - Full Time
Permanent · OREM
LULULEMON
Visual Merchandising Specialist | The Shops at Mission Viejo
Permanent · MISSION VIEJO
LULULEMON
Community Specialist | Village Meridian
Permanent · MERIDIAN
NORDSTROM
Customer Service Representative - Montgomery Mall
Permanent · BETHESDA
NORDSTROM
Retail Stock - Chandler Festival Rack
Permanent · CHANDLER
NORDSTROM
Customer Service Representative - Old Orchard Center
Permanent · SKOKIE
NORDSTROM
Chef - Nordstrom Grill - City Creek Center
Permanent · SALT LAKE CITY
NORDSTROM
Retail Stock - Mayfair Collection Rack
Permanent · WAUWATOSA
NORDSTROM
Asset Protection - Agent - International Plaza
Permanent · TAMPA
NORDSTROM
Area HR Business Partner - NE Stores - CT/NY Market
Permanent · NORWALK
NORDSTROM
Retail Stock - The Village at Totem Lake Rack
Permanent · KIRKLAND
NORDSTROM
Service Experience Rep - Fashion Island
Permanent · NEWPORT BEACH
NORDSTROM
Asset Protection - Agent - Pentagon City
Permanent · ARLINGTON
NORDSTROM
Asset Protection - Security Ambassador - Pentagon City
Permanent · ARLINGTON
NORDSTROM
Asset Protection - Agent - Westfield Culver City Rack
Permanent · CULVER CITY
NORDSTROM
Retail Stock - The Palms at Town & Country Rack
Permanent · KENDALL
By
Reuters
Published
Mar 2, 2023
Reading time
2 minutes
Download
Download the article
Print
Text size

Macy's gives upbeat profit forecast amid retail gloom, shares surge

By
Reuters
Published
Mar 2, 2023

Macy's Inc beat estimates for holiday quarter results and forecast annual profit largely above expectations as the department store operator looks to rein in promotions to beef up its margins, sending its shares up 10% on Thursday.


Macy's


​Like many retailers, Macy's offered steep discounts during the holiday season to get rid of excess inventory and attract inflation-weary consumers. But Chief Executive Jeff Gennette said those promotions were "competitive but measured."

 ​"(We) took strategic markdowns and intentionally did not chase unprofitable sales," Gennette added.

As a result, margins fell 2 percentage points to 34.1% at Macy's, compared with a 10 percentage point hit at Kohl's Corp.

With the extra inventory mostly gone, Macy's is just going to be more cautious with the way it offers promotions, M Science analyst Matthew Jacob said.

Macy's forecast adjusted full-year profit per share between $3.67 and $4.11, compared with analysts' average expectation of $3.84.

Although the guidance calls for a small decline in revenues and profit "it is aggressive compared to peers," CFRA Research analyst Zachary Warring said.

Stubbornly high inflation and an uncertain economic environment have forced retailers such as Walmart Inc and Target Corp to provide cautious forecasts for the year.

Macy's executives said discretionary spending would be under pressure across all income tiers, echoing comments from Walmart's top bosses.

"(We) expect the allocation of disposable income to continue shifting towards services and essential goods," Gennette told analysts in a post-earnings call.

The company sees 2023 sales between $23.7 billion and $24.2 billion, compared with the average estimate of $24.29 billion, according to IBES data from Refinitiv.

 

© Thomson Reuters 2024 All rights reserved.