Macy’s (NYSE:M) reported a mixed set of fourth-quarter results for 2024, with earnings exceeding expectations but annual guidance falling short, sending shares down about 2% intra-day today.
The retailer posted earnings per share of $1.80 for the quarter, surpassing analyst projections of $1.54. Revenue came in at $7.77 billion, roughly in line with the expected $7.78 billion.
Comparable sales on an owned basis declined 1.1% year-over-year, an improvement from the 5.4% drop seen in the prior year but below the estimated 0.09% decline. However, owned-plus-licensed-plus-marketplace comparable sales inched up 0.2%. Macy’s gross margin declined to 35.7% from 37.5% a year ago but still came in slightly above the 35.6% forecast.
Looking ahead, Macy’s issued a cautious outlook for fiscal 2026, guiding EPS between $2.05 and $2.25, below the consensus estimate of $2.32. Full-year revenue is expected to range between $21 billion and $21.4 billion, compared to the Wall Street forecast of $21.3 billion.
The company anticipates comparable owned-plus-licensed-plus-marketplace sales to decline between 2.0% and 0.5% year-over-year. Meanwhile, its go-forward business segment is projected to see sales decline between 2.0% and flat.