NEW YORK (AP) — Macy’s is slashing its full-year profit and sales outlook with its shoppers in an extended funk.
First-quarter net income tumbled 40 percent, to $115 million, or 37 cents per share. Adjusted per-share earnings were 40 cents per share, 4 cents better than Wall Street had expected, according to FactSet.
Revenue fell 7.4 percent to $5.77 billion, worse than the $5.93 billion analysts expected. Revenue at stores open at least a year fell 5.6 percent, the fifth consecutive quarter of declines. Macy’s expects comparable store sales for the year of 3 percent to 4 percent for the year, which also disappointed Wall Street. Shares plunged Wednesday.
The retailer had been stellar performer but over the last year and a half it has stumbled amid stiffer competition and a changing shopper.