Macy’s ( (M) ) has released its Q4 earnings. Here is a breakdown of the information Macy’s presented to its investors.
Macy’s, Inc. is a renowned American retailer, operating iconic nameplates such as Macy’s, Bloomingdale’s, and Bluemercury, with a strong presence in both digital and physical retail spaces across the United States.
In its latest earnings report, Macy’s, Inc. announced its financial results for the fourth quarter and fiscal year 2024, highlighting a mixed performance with some areas of growth and others facing challenges. The company also provided guidance for fiscal year 2025, indicating a cautious outlook amid ongoing strategic shifts.
For the fourth quarter of 2024, Macy’s reported a decrease in net sales by 4.3% to $7.8 billion, with comparable sales down 1.1% on an owned basis. However, the company achieved an adjusted diluted earnings per share of $1.80, surpassing its prior guidance. Bloomingdale’s and Bluemercury showed strong performance, with comparable sales growth of 4.8% and 6.2%, respectively. Macy’s ended the year with $1.3 billion in cash and announced plans to resume share buybacks, reflecting confidence in its financial stability.
Throughout fiscal year 2024, Macy’s faced a 3.5% decline in net sales to $22.3 billion, driven by challenges in non-First 50 locations and digital channels. Despite these hurdles, the company maintained a flat gross margin rate of 38.4% and reduced SG&A expenses by $45 million. Macy’s strategic focus on its ‘Bold New Chapter’ initiative resulted in asset sale gains and a continued emphasis on enhancing customer experience and operational efficiency.
Looking ahead, Macy’s management remains committed to its strategic initiatives aimed at driving long-term growth and shareholder value. The company anticipates net sales for fiscal year 2025 to range between $21.0 billion and $21.4 billion, with a focus on stabilizing its core business and pursuing profitable growth opportunities.