Macy’s, Inc. Same-Store Sales Up 4.1% in December

CINCINNATI--(BUSINESS WIRE)--Macy’s, Inc. (NYSE: M) today reported total sales of $5.102 billion for the five weeks ended Dec. 29, 2012, an increase of 3.6 percent compared with total sales of $4.923 billion in the five weeks ended Dec. 31, 2011. On a same-store basis, Macy’s, Inc. sales were up 4.1 percent in December as compared to December 2011.

“Last month was our fourth consecutive December with same-store sales growth, which is indicative of the sustainability of our key business strategies”

Same-store sales increased by 2.5 percent for November and December 2012 combined as compared to the same period in 2011.

“Last month was our fourth consecutive December with same-store sales growth, which is indicative of the sustainability of our key business strategies,” said Terry J. Lundgren, chairman, president and chief executive officer of Macy’s, Inc. “While the rate of growth was somewhat less than we had expected in the first two months of the fourth quarter, it came amid some significant headwinds from uncertain economic news and the lingering effects of Hurricane Sandy. All said, we are proud of our accomplishments in driving growth this holiday season and we believe we continued to gain market share.

“In particular, we are pleased with the significant progress we made this holiday season in implementing our Omnichannel initiatives through a period of high sales volume. Our new process for satisfying store and online orders through both our online fulfillment centers and fulfillment stores led us to make better use of our inventories and drive sales that otherwise would have been lost when we ran out of stock locally in certain items,” Lundgren said.

(Editor’s Note: Macy’s, Inc. this morning also issued a separate news release announcing normal-course adjustments to the company’s stores portfolio.)

For the year to date, Macy’s, Inc. sales totaled $25.887 billion, up 3.3 percent from total sales of $25.068 billion in the first 48 weeks of 2011. On a same-store basis, Macy’s, Inc.’s year-to-date sales were up 3.3 percent.

Online sales (macys.com and bloomingdales.com combined) were up 51.7 percent in December and 40.4 percent in 2012 year-to-date compared with the same periods in 2011. Online sales are included in the same-store sales calculation for Macy's, Inc.

The company now expects same-store sales for the fourth quarter of 2012 to increase by between 3 percent and 3.5 percent. This compares with previous guidance for fourth quarter sales to be up by approximately 4.2 percent. Earnings per diluted share for the fourth quarter now are expected to be in the range of $1.91 to $1.96, excluding costs associated with the previously announced debt tender offer and the store closings announced today. This compares with previous earnings guidance in the range of $1.94 to $1.99 per diluted share, excluding those costs.

Including the 21 cents per diluted share for costs associated with the debt tender offer and store closings, earnings per diluted share for the fourth quarter of 2012 are now expected to be in the range of $1.70 to $1.75.

Macy’s, Inc., with corporate offices in Cincinnati and New York, is one of the nation’s premier retailers, with fiscal 2011 sales of $26.4 billion. The company operates about 840 department stores in 45 states, the District of Columbia, Guam and Puerto Rico under the names of Macy’s and Bloomingdale’s, as well as the macys.com and bloomingdales.com websites. The company also operates 12 Bloomingdale’s Outlet stores. Bloomingdale’s in Dubai is operated by Al Tayer Group LLC under a license agreement.

All statements in this press release that are not statements of historical fact are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are based upon the current beliefs and expectations of Macy’s management and are subject to significant risks and uncertainties. Actual results could differ materially from those expressed in or implied by the forward-looking statements contained in this release because of a variety of factors, including conditions to, or changes in the timing of, proposed transactions, prevailing interest rates and non-recurring charges, competitive pressures from specialty stores, general merchandise stores, off-price and discount stores, manufacturers’ outlets, the Internet, mail-order catalogs and television shopping and general consumer spending levels, including the impact of the availability and level of consumer debt, the effect of weather and other factors identified in documents filed by the company with the Securities and Exchange Commission.

(NOTE: Additional information on Macy’s, Inc., including past news releases, is available at www.macysinc.com/pressroom).