Profit Falls at Federated Department Stores
Federated Department Stores
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posted a sharply lower second-quarter profit, but still beat its own guidance and analysts' consensus estimate.
The owner of Macy's and Bloomingdale's earned $120 million, or 64 cents a share, in the quarter ended Aug. 2, compared with $282 million, or $1.39 a share, last year. Analysts were expecting 62 cents a share. The company itself had forecast earnings of 60 cents to 63 cents a share.
Operating income was $264 million, down from $300 million last year. Sales fell 1.5% to $3.43 billion. The company also said same-store sales were down 1.2%.
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Federated reaffirmed its full-year earnings expectation of $2.40 to $2.50 a share, with a profit of 25 cents to 30 cents in the third quarter and $2.15 to $2.20 for the fourth quarter. The company sees same-store sales for both the third and fourth quarters anywhere from down 1% to up 1%.
Analysts forecast 36 cents a share in the third quarter, $2.07 a share in the fourth quarter and $3.26 for the year.
Shares of Federated were losing 19 cents to $42.42 in recent trading on the
New York Stock Exchange
.
