Famous department store chain Macys (NYSE:M) says it's well "set up" for a comeback as second quarter sales numbers were not a bad as some had feared.
Sales in the three months came in at $5.866 billion, down 3.9% when compared with the $6.104 billion in the same period last year.
Meanwhile, the firm also restated its previous sales and earnings guidance for full-year 2016.
Operating income for the second quarter was $372 million or 6.4% of sales, compared to $436 million or 7.1% of sales for the same period last year.
But, in a significant move, the group unveiled plans to close around 15% of its stores early in 2017 as it moves to increasingly pitch against ever more consumers shopping online.
Chairman and chief executive Terry J. Lundgren said: “A number of factors worked in our favour in the second quarter, including a normalised weather pattern, which contributed to a sales lift in our apparel business in particular.
"We also saw a smaller decrease in tourist spending during prime summer travel months, supported by strengthened promotional events designed to increase customer traffic and conversion. Macy’s first-ever ‘Black Friday in July’ event was a terrific success which drove record store and online sales for a mid-year period.
Macy’s first-ever ‘Black Friday in July’ event was a terrific success which drove record store and online sales for a mid-year period,”
Macy's shares zoomed up over 14% in early deals to stand at US$38.98.