Macy’s Cuts Forecast on Inventory Glut, Inflation Pressures
- Earnings, sales outlook lowered for full fiscal year
- Shares rise; analyst says guidance cut seems ‘prudent’
Macy’s Inc. cut its full-year forecast for profit and revenue, citing tighter consumer budgets and an industrywide inventory glut that is leading to steeper markdowns.
Earnings per share, excluding some items, are now expected to be at least $4 for the fiscal year, compared with a prior outlook of at least $4.53, Macy’s said in a statement Tuesday. The department-store chain also trimmed its forecast for annual sales.