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Macy's Oct revenue at established stores jumps

CINCINNATI (AP) -- Macy's saw revenue from established stores rise 4.1 percent in October, and the New York retailer gave an upbeat outlook on the holiday season despite huge disruptions from Superstorm Sandy.

Analysts expected a 2.9 percent increase in revenue for stores open at least a year, according to Thomson Reuters. It's a highly monitored gauge of a retailer's health because it excludes volatility from stores that open or close during the year.

Total revenue for the four weeks rose 3.6 percent to $1.91 billion.

"Business was strong in October, and we delivered a solid performance in the third quarter," said CEO Terry Lundgren.

Macy's said 200 of its stores, including Bloomingdale's, were closed at some point during regular hours because of the storm. The closings ranged from just a few hours, to days. But the company said it expects to make up some or most of its lost sales through the remainder of the fourth quarter.

The company now expects revenue in stores open at least one year to rise 4 percent in the second half of the year, up slightly from prior guidance of a 3.7 percent increase. It expects the figure to rise 4.2 percent in the fourth quarter

For the third-quarter revenue in stores open at least one year rose 3.7 percent and total sales rose 3.8 percent to $6.08 billion. Analysts expected a $6.05 billion increase.

Shares of Macy's Inc. rose $1.45, or 3.8 percent, to $39.52 in midday trading.