Macy's Delays Q3 Earnings, Employee Hid $132M-$154M in Expenses, Shares Drop 6% Premarket

Nov 25, 2024, 12:15 PM

Macy's Inc. has delayed the release of its third-quarter earnings due to an investigation revealing that an employee hid between $132 million and $154 million in delivery expenses from Q4 2021 through Q3 2024. The company reported preliminary Q3 revenue of $4.74 billion, which was in line with expectations of $4.72 billion. Despite this, Macy's experienced a 2.4% decline in net sales, falling short of analysts' estimates of $4.77 billion. The retailer noted that November comparable sales are trending ahead of the third quarter, and it expects to report Q3 results and provide an outlook by December 11th. Macy's shares fell approximately 6% in premarket trading following the announcement of the accounting issue.