Macy's Shares Tumble 8.5% After Revenue Falls Short, Company Lowers Full-year Outlook

Macy's Inc. shares dropped 8.5% revenues fell short of estimates and it lowered full-year guidance. The company said it had net income of $117 million, or 36 cents per share, in the third quarter, down from 61 cents per share, or $217 million for the same period last year. Adjusted earnings were 56 cents per share compared with a FactSet consensus of 55 cents. The retailer reported sales of $5.88 billion versus $6.2 billion for the third quarter 2014. The FactSet consensus was $6.09 billion. Macy's revised full-year EPS guidance to $4.20 to $4.30, excluding impairment chargest associated mostly with announced store closures. The previous guidance was for $4.70 to $4.80. The company lowered full-year same-store sales guidance on an owned plus licensed basis to a decline of 1.8% and 2.2% from flat. Fourth-quarter same-store sales guidance is a 2% to 3% decline.