Headlines

Macy’s Reports Fourth Quarter Earnings, Rejects E-Commerce Spinoff Idea

The department store retailer saw a revenue growth to $8.67 billion

Published

2 years ago

February 22, 2022

VMSD Staff

Macy’s Reports Fourth Quarter Earnings, Rejects E-Commerce Spinoff Idea — Courtesy: Macy's

Courtesy: Macy’s

Macy’s (New York) recently reported stronger-than-expected fourth quarter earnings, including a revenue growth to $8.67 billion from $6.78 billion in 2021, which topped expectations of a projected $8.47 billion, CNBC reports.

With input from consultancy AlixPartners, Macy’s has also said it is rejecting the idea of splitting its e-commerce operations from its stores, which activist Jana Partners has been calling for, citing a similar move by Saks Fifth Avenue (New York). Following the news, shares for Macy’s rose 4 percent in morning trading.

Macy’s CEO Jeff Gennette reportedly said on the fourth quarter earnings call, “In every scenario we considered, we found that the combination of our profitable digital platform with our national footprints will deliver greater value to shareholders than a separation of our digital and physical assets.”

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