Investing.com - Macy’s Inc (NYSE:M) shares were getting hammered on Thursday, with traders looking past the company’s second quarter earnings beat and focusing on the company’s falling sales and low full-year EPS guidance
The retailer reported its second quarter net income was $116.0 million, or 38 cents per share, up from $11.0 million, or 3 cents per share, for the same period last year. Adjusted EPS was 48 cents 2 cents above analyst consensus. Sales fell to $5.55 billion in the quarter from the $5.87 billion in the comparable quarter, but they were above the $5.52 billion analysts forecast.
While the earnings were a beat, the company reported that its same-store sales on an owned basis were down 2.8% for the quarter, and down 2.5% on an owned-plus-licensed basis.
Macy's reaffirmed its full-year guidance for same-store sales decline between 2.2% and 3.3% on an owned basis and down 2% to 3% on an owned-plus-licensed basis. The company is looking for full-year EPS to fall in the range of $2.90 to $3.15 excluding special items. Even the top-end of this range is below the analyst consensus for full-year EPS of $3.27.
Macy's shares were down 9.7% in early afternoon trade and set a new 52-week low of $20.72 during the session.