Macy's, Inc. (NYSE:M) Q2 2018 Earnings Conference Call - Final Transcript

Aug 15, 2018 • 09:30 am ET


Macy's, Inc. (NYSE:M) Q2 2018 Earnings Conference Call - Final Transcript


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Good morning and welcome to the Macy's, Inc. Second Quarter 2018 Earnings Conference Call. Today's hour's long (ph) conference is being recorded. I would now like to turn the conference over to Monica Koehler, Vice President, Investor Relations and Finance. Please go ahead.

Monica Koehler

Good morning and welcome to the Macy's, Inc. conference call scheduled to discuss our second quarter earnings and outlook for the remainder of the year. Joining us on the call today are Jeff Gennette, Chairman and Chief Executive Officer and Paula Price, Chief Financial Officer. Any transcription or other reproduction of the statements made in this call without our consent is prohibited. A replay of the call will be available on our website,, beginning approximately two hours after the call concludes.

(Forward-Looking Cautionary Statements)

And discussing the results of our operations, we will be providing adjusted net income and adjusted diluted earnings per share amounts that exclude the following: the impact of impairment and other costs; settlement charges associated with our defined benefit plans; and losses or gains on the early retirement of debt. You can find additional important information regarding these non-GAAP financial measures as well as others used in our earnings release and during this call on the Investors section of our website. We look forward to taking your questions after our prepared remarks.

With that, I'll turn the call over to Jeff.

Jeff Gennette

Thank you, Monica. So, good morning, everybody and thank you for joining the call. First, I want to introduce Paula Price. Paula joined Macy's, Inc. as the Chief Financial Officer in early July. Paula is a strong addition to the team and she has hit the ground running. I also want to thank again Karen Hoguet for all that she's doing to help make this a smooth transition before her much deserved retirement. Karen has been a great partner to me and an exceptional leader for Macy's, Inc. and for the industry.

So, this morning I'm going share perspective on the second quarter, then Paula will take you through the details of the quarter as well as updated guidance. And then we'll open up the line for your questions.

As you saw in this morning's press release, Macy's, Inc. had another strong quarter. This was our third consecutive quarter of comparable sales growth and reflects ongoing improvement in the business that we saw first in the fourth quarter of 2017. It is early earnings, but I feel good about the progress that we made, the focus and energy of the team, and the positive response our customers have to our strategy.

Before we get started, I want to note, as we said in our press release, last week's -- or last year's 53-week calendar caused some shifts in our 2018 promotional calendar. Today, in my comments and in those of Paula, we will provide you with both second quarter and first half views, where we think it is helpful. So, this is how we're gauging the strength of the business and we