Macy's lowers FY18 EPS ex-items view to $3.95-$4.00 from $4.10-$4.30
Macy's is revising sales and earnings guidance for FY18. The company is also providing additional detail on the company's anticipated annual performance for fiscal 2018, noting that there are several weeks left in the quarter. Sees comparable sales owned plus licensed approx. up 2% compares to previous guidance of up 2.3%-2.5%. Sees comparable sales with 53rd week shifted calendar up approx. 2.3%. Sees comparable sales owned 20-30 basis points below comparable sales on an owned plus licensed basis. Sees net sales approx. flat compared to previous guidance up 0.3%-0.7%. Sees credit revenue $755M-$765M compared to previous guidance of $740M-$755M. Sees gross margin down slightly from previous view of up slightly. Sees SG&A dollars excluding asset sale gains up slightly. Sees SG&A rate up slightly from previous view of flat. Sees Diluted EPS excluding settlement charges, impairment and other costs $3.95 to $4.00 from previous view of $4.10-$4.30. Consensus is $4.23. Sees Asset sale gains approx. $360M. Sees inventory position down.