Macy’s Q3 Loss Narrows vs. Year Ago, Sales Decline, Sees Improved Same Store Sales – Stock Down 2% on Increasing Pre-Market Volume

08:07 AM Eastern Standard Time, 11/11/2009 (MidnightTrader) — Macy’s (M) reports a Q3 loss, ex items, of $0.03 per share, down from a year ago loss of $0.08 per share. Including items, the loss was $0.08 per share, vs. a year ago loss of $0.10 per share. Street expectations called for a loss of $0.07 per share. Sales were $5.277 bln, down from $5.439 bln in the year ago quarter and just ahead of the Street view of $5.253 bln.

Looking forward, the company currently expects same-store sales to be down 1 percent to 2 percent in the fourth quarter of 2009, which calculates to down 2.1 percent to 2.6 percent in the second half of 2009. This is better than previous guidance for second half same-store sales to be down 5 percent to 6 percent. At the level of current guidance for the fourth quarter, full-year 2009 same-store sales are expected to be down between 5.4 percent and 5.7 percent – better than the company’s original guidance, provided at the beginning of the year, for fiscal 2009 same-store sales to be down between 6 percent and 8 percent.

Macy’s, Inc. is assuming fourth quarter earnings per share on a diluted basis will be $1.00 to $1.05 per share, excluding restructuring-related costs. At the level of current guidance for the fourth quarter, full-year 2009 diluted earnings per share will be $1.01 to $1.06, excluding restructuring-related costs. This is an increase from previous guidance (provided in August 2009) for 70 cents to 80 cents per share on the same basis. (Original guidance for fiscal 2009 earnings per share, provided at the beginning of the year, was 40 cents to 55 cents per diluted share, excluding restructuring-related costs.) The company continues to expect to book a total of approximately $400 million in pre-tax restructuring-related costs. The Street view is $1.17 per share for Q4 and $1.11 per share for the full year.

Price: 19.06, Change: -0.37, Percent Change: -1.9