Macy's 4Q profit up 11 pct; sales miss forecasts

Published on NewsOK Modified: February 25, 2014 at 11:10 am •  Published: February 25, 2014
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Macy's laid off 1,800 employees, below the original estimate of 2,500 because it was able to place more of its workers in new jobs than anticipated, Karen Hoguet, Macy's chief financial officer, told investors in a conference call Tuesday.

The department store chain said it earned $811 million, or $2.16 per share, in the three months that ended Feb. 1. That compares with $730 million, or $1.83 per share, a year earlier.

Excluding items related to closing some stores and other cost-reduction strategies, the company earned $2.31 per share in the latest quarter.

Revenue slipped 1.6 percent to $9.2 billion.

Analysts were expecting $2.17 per share on revenue of $9.28 billion, according to FactSet.

Revenue at stores open at least a year rose 1.4 percent, below the 2.5 percent increase that Wall Street analysts expected.

For November and December combined, the traditional holiday shopping season, revenue at stores open at least a year rose 4.3 percent. The figure includes sales from departments licensed to third parties like Finish Line.

Macy's reiterated that revenue at stores opened at least a year for the current year is expected to be up in the range of 2.5 percent to 3 percent. It also stuck with its earnings forecast of $4.40 to $4.50 per share for the year.

Analysts had expected $4.45 per share for the current fiscal year, according to FactSet.

Macy's shares rose $2.65 to $55.71 in late morning trading..

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