Macy's, Inc. (NYSE:M) Q4 2018 Earnings Conference Call - Final Transcript

Feb 26, 2019 • 09:30 am ET


Macy's, Inc. (NYSE:M) Q4 2018 Earnings Conference Call - Final Transcript


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Good morning, and welcome to Macy's, Inc. Fourth Quarter 2018 Earnings Call. Today's hour-long conference will end promptly at 10:30 Eastern Time and is being recorded. In the interest of time, we ask that you please limit yourself to one question.

I would now like to turn the call over to Ryan Alleman, Director of Treasury and Investor Relations. Please go ahead.

Ryan Alleman

Good morning, and welcome to the Macy's, Inc. conference call to discuss our fourth quarter and fiscal 2018 results and our 2019 outlook. Joining us on the call today are Jeff Gennette, our Chairman and Chief Executive Officer; and Paula Price, our Chief Financial Officer.

Any transcription or reproduction of the statements made on this call without our consent is prohibited. Please note that we will be referring to slides throughout today's conference call. These slides can be viewed by going to the Investors section of our website, Additionally, a replay of today's call will be available on our website beginning approximately 2 hours after the call concludes.

Keep in mind that all forward-looking statements are subject to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from the expectations and assumptions mentioned today.

A detailed discussion of these factors and uncertainties is contained in the Company's filings with the Securities and Exchange Commission. In discussing the results of our operations, we will be providing adjusted earnings before interest, taxes, depreciation and amortization, net income and diluted earnings per share amounts that exclude the impact of restructuring and other costs, settlement charges associated with our defined benefit plans, losses and gains on the early retirement of debt and the impacts of federal tax reform on the Company's deferred taxes.

You can find additional information regarding these non-GAAP financial measures, as well as others used in our earnings release and during this call on the Investor 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.

Jeffrey Gennette

Thank you, Ryan. So good morning everyone and welcome to the Macy's, Inc. fourth quarter and 2018 full-year earnings call. Paula and I will take you through our 2018 fourth quarter and fiscal year results, and 2019 guidance and high level plans, then we will open up the line for Q&A.

So as you saw in this morning's press release, we delivered on our goal of returning Macy's, Inc. to comparable sales growth. This was our fifth consecutive quarter of positive comp sales and we achieved a full year of positive comparable sales for the first time since 2014. For the fourth quarter, comparable sales were up 0.7% on an owned plus licensed basis and we delivered earnings of $2.73 per share. For the year, comparable sales grew 2% on an owned plus licensed basis and we achieved earnings of $4.18 per share. I want to thank our