Macy's said earnings for the three months ending in March came in at 44 cents per share, down 8.3% from the same period last year but 11 cents ahead of the Street consensus forecast. Group revenues, Macy's said, slipped to $5.504 billion and were just shy of analysts' estimates, but same-store sales rose 0.7% thanks in part to the group's Growth50 turnaround strategy.
"Macy's is off to a solid start this year, delivering our sixth consecutive quarter of comparable sales growth and making progress against the North Star Strategy. As an omnichannel retailer, we are focused on growing our customer base by providing a great experience across all channels and taking market share category by category," said CEO Jeff Gennette.
"Our brick & mortar sales trend improved sequentially in the first quarter, supported by the Growth50 stores and Backstage. We had another quarter of double-digit growth in our digital business, and mobile continues to be our fastest-growing channel."
Real Money's Kevin Curran and Action Alerts Plus senior Analyst Jeff Marks weighed in on Macy's quarter and what China means for retailers.
"But [Macy's is] giving up its gains because again it's going to have that exposure to China. All these retailers are going to have that shine exposure," said Marks.