.August 21, 2024 12:21 PM

Macy’s, Inc. (NYSE:M) saw its shares plummet over 12% today after cutting its full-year sales guidance, missing Street expectations. Despite reporting Q2 2025 earnings per share (EPS) of $0.53, beating the projected $0.30, the company’s revenue of $5.1 billion slightly exceeded analyst estimates of $5.06 billion. However, comparable sales on an owned basis fell by 4%, and owned plus licensed comparable sales dropped by 3.3%, contrary to expectations for a slight increase.

Macy’s gross margin for the quarter improved to 40.5%, up from 38.1% last year, surpassing the estimated 39.8%. The retailer adjusted its full-year EPS guidance to a range of $2.55 to $2.90, in line with the Street estimate of $2.78. However, Macy’s lowered its net sales forecast to between $22.1 billion and $22.4 billion, down from its previous outlook of $22.3 billion to $22.9 billion, with Street estimates at $22.66 billion.