Macy’s Profits, Like their Balloons, are UP, UP, UP!

By mark-slade February 21, 2012

As a former buyer for Macy’s, turned wholesale EVP, turned Realtor, I find myself cautiously optimistic when reading results like these as they pertain to our national economy. Coupled with the strong trend in Real Estate in the Bedroom Communities of NYC, with 45 minute commutes to NYC, I couldn’t ask for more!

Shares of Macy’s, Inc. (NYSE:Mmacy’s) are up over 4% in morning trade after the company reported quarterly revenues and profits that exceeded analyst estimates. The company earned $745 million, or $1.74 per share, for the period ended Jan 28. That is up over 12% from a year ago when it earned $667 million, or $1.55 per share. Adjusted earnings were $1.70 per share, 5 cents ahead of consensus estimates.

Revenue rose 5.5 percent to $8.72 billion from $8.27 billion ahead of the analyst forecast that called for revenues of $8.7 billion. A key indicator of retailer health, revenue at stores opens at least a year, which includes online sales, climbed 5.2 percent.

For the year, Macy’s earned $1.26 billion, or $2.92 per share. That compares with earnings of $847 million, or $1.98 per share, in the previous year. Adjusted earnings were $2.88 per share. Full-year revenue increased 5.6 percent to $26.41 billion from $25 billion. Online sales rose close to 40 percent.

The company also said, it expects fiscal 2012 earnings of $3.25 to $3.30 per share. This is in line with consensus forecasts that are looking for earnings of $3.27 per share. Macy’s also expects that its online sales will surpass $2 billion in 2012.

Mark Slade
keller williams

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