Macy’s Guides FY22 Above View As Q4 Results Top Estimates; Boosts Dividend 5% – Quick Facts

Omni-channel fashion retailer Macy’s, Inc. (M) reported Tuesday a fourth-quarter net income of $742 million or $2.44 per share, sharply higher than $160 million or $0.50 per share in the prior-year quarter.

Excluding items, adjusted net income for the quarter was $745 million or $2.45 per share, compared to $253 million or 0.80 per share in the year-ago quarter.

Net sales for the quarter surged to $8.67 billion from $6.78 billion in the same quarter last year. Comparable sales were up 28.3 percent on an owned basis and up 27.8 percent on an owned-plus-licensed basis. Digital sales increased 12 percent.

On average, analysts polled by Thomson Reuters expected the company to report earnings of $1.99 per share on net sales of $8.47 billion for the quarter. Analysts’ estimates typically exclude special items.

Looking ahead to fiscal 2022, the company now projects adjusted earnings in a range of $4.13 to $4.52 per share on net sales between $24.46 billion and $24.70 billion.

The Street is looking for earnings of $4.06 per share on net sales of $24.23 billion for the year.

The company also projects comparable owned plus licensed sales three-year CAGR to be about 1.1 to 1.4 percent.

Additionally, the company reinstated its regular quarterly dividend in 2021 and its board of directors declared a approximately 5 percent higher regular quarterly dividend of 15.75 cents per share on Macy’s, Inc.’s common stock, payable on April 1, 2022 to shareholders of record at the close of business on March 15, 2022.

The company’s board of directors has also authorized a new, open-ended $2 billion share repurchase program.

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