Macy’s Q2 sales up by 3 percent

Macy’s reported earnings of 67 cents per diluted share for the second quarter of 2012, ended

July 28, 2012. This represents a 22 percent increase in earnings per share from earnings of 55 cents per diluted share in the second quarter of 2011.

Macy’s diluted earnings per share in the first half were 1.09 dollars, an increase of 27 percent compared with earnings of 86 cents per share in the first half of 2011.

Sales in the second quarter totaled 6.118 billion dollars, up 3 percent from total sales of 5.939 billion dollars in the second quarter of 2011. On a same-store basis, Macy’s’ second quarter sales were up 3 percent in 2012 as compared to the second quarter of 2011.

For the year to date, Macy’s sales totaled 12.261 billion dollars, up 3.7 percent from total sales of 11.828 billion dollars in the first 26 weeks of 2011. On a same-store basis, Macy’s first half sales were up 3.7 percent in 2012 as compared to the first half of 2011.

Macy’s’ operating income totaled 554 million dollars or 9.1 percent of sales for the quarter ended July 28, 2012, compared with operating income of 506 million dollars or 8.5 percent of sales for the same period last year. For the first half of 2012, Macy’s’ operating income totaled $945 million or 7.7 percent of sales, compared with operating income of 836 million dollars or 7.1 percent of sales for the same period last year.

Net cash provided by operating activities was 638 million dollars in the first half of 2012, compared with 587 million dollars in the first six months of last year. Net cash used by financing activities in the first six months of 2012 was 1.468 billion dollars, compared with 334 million dollars in the first half of 2011. The company repurchased approximately 10.6 million shares of its common stock for a total of approximately 374 million dollars in the second quarter of 2012. In the fiscal year to date, the company repurchased approximately 16 million shares of its common stock for approximately 588 million dollars.

The company is raising its earnings guidance for full-year 2012 to a range of 3.30 dollars to 3.35 dollars per diluted share, compared with previous guidance for earnings per diluted share of 3.25 dollars to 3.30 dollars. Guidance for same-store sales in fiscal 2012 remains unchanged at an increase of approximately 3.7 percent.

The company operates about 840 department stores in 45 states, the District of Columbia, Guam and Puerto Rico under the names of Macy’s and Bloomingdale’s, as well as online websites. The company also operates nine Bloomingdale’s Outlet stores.