Macy’s has delayed its final earnings release while it completes an investigation into falsified delivery expenses linked to an employee who hid between $132 million and $154 million.
The retailer discovered the discrepancies while preparing its earnings results for the third quarter that ended November 2, it said Monday. The company noticed an issue related to delivery expenses in one of its accrual accounts and initiated an independent investigation.
“As a result of the independent investigation and forensic analysis, the company identified that a single employee with responsibility for small-package-delivery expense accounting intentionally made erroneous accounting accrual entries to hide approximately $132 million to $154 million of cumulative delivery expenses from the fourth quarter of 2021 through fiscal quarter ended November 2, 2024,” Macy’s explained.
In total, the company spent $4.36 billion on delivery expenses during the period, it said. In preliminary results the company released, sales slipped 2.4% year on year to $4.74 billion. Comparable-store sales — at owned and licensed shops open for at least a year — decreased 1.3%.
The company will issue its full earnings results on December 11, it added.
Image: A Macy’s store in New York City. (Shutterstock)
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