Executive Summary

• Macy’s reported 1Q18 adjusted EPS of $0.42 and total revenues of $5,541 million, exceeding analysts’ estimates. Comparable sales were up 3.9% on an owned basis and up 4.2% on an owned-plus-licensed basis.
• Strong consumer and international tourist spending and progress in the execution of the company’s strategic objectives contributed to the positive quarterly performance.
• Management raised its guidance for FY18, and now expects adjusted EPS of $3.75–$3.95 and a 1.0%–2.0% increase in comps on an owned-plus-licensed basis.