Macy's delivers 22% earnings growth, raises guidance
CINCINNATI — After delivering a 22% increase over the prior year in diluted per share for it second quarter (from 55 cents to 67 cents), Macy's Inc. has raised its full-year earnings guidance for 2012.
The company now expects earnings per diluted share to range from $3.30 to $3.35, compared with previous guidance for earnings per diluted share of $3.25 to $3.30. Guidance for same-store sales in fiscal 2012 remains unchanged at an increase of approximately 3.7%.
Macy's reported second-quarter sales of $6.1 billion, up 3% from total sales of $5.939 billion in the second quarter of 2011. On a same-store basis, second-quarter sales were up 3% in 2012 as compared with the second quarter of 2011.
“We were pleased with our spring season results, and they came on top of exceptionally strong spring season performances in each of the past two years. This indicates that our business continues to have forward momentum, even with challenges that include a soft economy, lower spending by international tourists, and temporary disruptions associated with the major remodeling of our Herald Square flagship store in New York City which was initiated in March,” said Terry Lundgren, Macy’s Inc. chairman, president and chief executive officer. “In response to these challenges, we have stayed very firmly focused on driving profitable sales growth while running the business with discipline to maintain margins and manage expenses."
In the second quarter, the company opened two new Bloomingdale’s Outlet stores. In the first half, two new Macy’s stores also opened in the Milwaukee and Salt Lake City markets. In the second half of 2012, the company is opening three new Bloomingdale’s Outlet stores and closing a Macy’s store in Santa Ana, Calif, as previously announced.