admin Macy’s has reported an 8 percent drop in net sales in the second quarter, but that was still better than it had expected.
The US department store chain generated Q2 sales of 5.13 billion dollars, down from 5.6 billion dollars the prior year, as the company faced “uncertainty in the macroeconomic environment”.
However, the drop in sales was smaller than the company had expected.
The retailer posted a net loss of 22 million dollars in the quarter compared to a profit of 275 million dollars a year earlier.
Looking ahead, the company warned it is taking a “cautious approach on the consumer” in light of “ongoing macroeconomic pressures and uncertainty on when those will abate”.
Chair and CEO Jeff Gennette said: “We continue to see uncertainty in the macroeconomic environment. We are leveraging our robust data science tools to refine inventory composition, while reading and reacting to shifting consumer preferences to meet demand.
“Looking ahead, we are committed to fortifying our core business and improving our customer experience while investing in our five growth vectors.
“We believe these advancements, enabled by our strong talent, will drive our relevancy and long-term success as a modern department store.”
Despite the uncertain outlook, Macy’s has reaffirmed its full-year sales and earnings guidance. It expects FY sales of between 22.8 billion dollars and 23.2 billion dollars.
It forecasts adjusted diluted earnings per share of between 2.70 dollars and 3.20 dollars.
