Macy's expects H2 comparable sales to rise 2.5-4%

Macy’s, Inc.’s diluted earnings per share in the first half of 2013 were $1.27, an increase of 16.5 percent compared with earnings per diluted share of $1.09 in the first half of 2012.

Sales

Sales in the second quarter totaled $6.066 billion, down 0.8 percent from total sales of $6.118 billion in the second quarter of 2012. On a comparable basis, Macy’s, Inc.’s second quarter sales were down 0.8 percent in 2013 as compared to the second quarter of 2012.

For the year to date, Macy’s, Inc. sales totaled $12.453 billion, up 1.6 percent from total sales of $12.261 billion in the first 26 weeks of 2012. On a comparable basis, Macy’s, Inc.’s first half sales were up 1.5 percent in 2013 as compared to the first half of 2012.

Comparable sales include net sales from stores open at least one full fiscal year, as well as online sales at macys.com and bloomingdales.com.

In the second quarter, the company opened a new Macy’s store in Gurnee, IL, and a Bloomingdale’s Outlet store in Rosemont, IL. A Macy’s store was closed in St. Louis, MO. In the second half of 2013, the company is opening a new Bloomingdale’s store in Glendale, CA, and a new Macy’s replacement store in Bay Shore, NY, as previously announced.

“We had planned our second quarter sales with a lower increase than the first quarter because of a shift in a major promotional event. Even so, second quarter sales performance was softer than anticipated, and we are disappointed with the results. Our performance in the period, in part, reflects consumers’ continuing uncertainty about spending on discretionary items in the current economic environment.

“After a cool spring, we have taken appropriate markdowns and customers are responding favorably. Also on the positive side, we have seen a strengthening of the sales trend in key elements of women’s ready-to-wear, a category which has lagged over the past couple of years. Bloomingdale’s sales rebounded in the second quarter, and we are encouraged by our recent momentum,” said Terry J. Lundgren, Macy’s, Inc. chairman, president and chief executive officer.

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Macy's, Inc