By Aisha Al-Muslim
Macy's Inc. posted stronger-than-expected sales growth in the latest period as the retailer said it benefited from more customers making purchases through digital channels.
Sales at stores open at least a year grew 0.6% for the period ended May 4, above the FactSet estimate of a 0.6% decrease. Including licensed departments, same-store sales rose 0.7%.
Overall, the Cincinnati-based company reported Wednesday net sales for the first quarter fell less than 1% to $5.5 billion.
The company posted a profit of $136 million, or 44 cents a share, down from $139 million, or 45 cents a share, a year earlier. Excluding impairment and other costs, adjusted earnings were 44 cents a share, higher than the 33 cents a share that analysts polled by FactSet were looking for.
Macy's also affirmed its sales and earnings guidance for the current fiscal year. The company expects net sales to be roughly flat from the last fiscal year, with comparable sales to be flat to up 1%. Excluding settlement charges, impairment and other costs, the company forecasts adjusted earnings per share of $3.05 to $3.25.
The stock rose more than 4% to $22.74 in premarket trading. Shares are down 27% in the last year.
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