NEW YORK – Macy’s Inc.’s first-quarter earnings soared and handily beat Wall Street predictions on rising revenue, tight expense controls and its efforts to tailor merchandise by region.
The department store chain, which also operates Bloomingdale’s, also said Wednesday that it is doubling its quarterly dividend and raising its full-year earnings and sales outlook.
Investors were pleased, pushing shares up more than 8 percent in late morning trading.
“The momentum from our restructuring and the implementation of My Macy’s is building and bodes very well for our future,” Chief Financial Officer Karen Hoguet told investors on a conference call.
Macy’s reported net income of $131 million, or 30 cents per share, in the three months ended April 30. That compares with $23 million, or 5 cents per share, in the same quarter last year.
Revenue reached $5.88 billion, up 5.7 percent.
Analysts expected earnings of 18 cents on revenue of $5.89 billion, according to FactSet,
Revenue at stores open at least a year rose 5.4 percent. The measure is a key indicator of a retailer’s health because it excludes stores that opened or closed during the year.
Online revenue for Macy’s and Bloomingdale’s combined surged 38.3 percent in the first quarter. The increase helped boost revenue at stores
Read More from the Article Source: Full Article
