Macy's latest challenge linked to internal accounting irregularities is not overbearing, but does not reflect well. Read my analysis of M's preliminary report.

The department store company Macy’s delayed its complete quarterly results release after finding out one of their employees “intentionally” hid approximately $154 million of expenses over a few years.

Macy's on Monday delayed the publication of its third-quarter results due to an accounting issue tied to delivery expenses and instead posted preliminary results in which its sales missed Wall Street expectations.

Macy’s reported stronger-than-expected sales for the third quarter and said it’s delaying the release of its full quarterly results after it discovered an employee intentionally hid up to $154 million of expenses over several years.

Macy's shares moved lower Monday morning after the retailer unexpectedly posted preliminary results for the third quarter, and said its official report for the quarter would be delayed following an investigation into an accounting issue.

The company said the employee no longer works for Macy's, and that the person's actions did not affect its cash management and vendor payments. It is unclear if they are pursuing criminal charges.

Macy's cites erroneous accounting accrual entries and delays Q3 results. The retailer's preliminary third-quarter sales missed estimates.

Macy's on Monday delayed its Q3 earnings release as it conducts an internal investigation into an employee hiding hundred of millions of dollars of expenses.

The retailer said the funds were not stolen, vendor payments were unaffected and the individual responsible is no longer with the company.

Shares of Macy’s M fell 2.2% during the trading session yesterday, as investors digested the news of a delay in fiscal third-quarter 2024 earnings release. The delay is related to the discovery of accounting irregularities for delivery expenses.