Macy's (M) on Wednesday posted its official third quarter results after it concluded an internal investigation into an employee hiding up to $151 million of expenses that led to a delay in reporting.

The tepid earnings report was broadly in line with the preliminary results shared last month.

Macy's reported adjusted earnings per share of $0.04, which beat Wall Street's expectation of $0.03. Net sales declined 2.4% from a year ago to $4.74 billion, versus $4.75 billion expected. Same-store sales declined 1.3%, compared to estimates of 1.39%.

The company lowered its full-year profit guidance as it closes stores in a turnaround push. It now expects adjusted profit per share of $2.25 to $2.50, versus its prior forecast of $2.34 to $2.69.

Macy's stock price fell 10% before the bell on Wednesday. Per Yahoo Finance data, shares are down 25% year to date, compared to the S&P 500's (^GSPC) 28% gain.

The retailer rejected a $24.80 per share buyout offer earlier this year from Arkhouse and Brigade Capital. It opted to focus on its Bold New Chapter strategy, but lackluster results have ratcheted up activist pressure.

Same-store sales climbed 1.9% at the 50 locations that Macy's is prioritizing. The company expects fourth quarter net sales to come in between $7.8 billion and $8 billion, compared to $8.12 billion in Q4 of 2023.

"We're navigating a competitive discretionary environment," Macy's CEO Tony Spring said. "In this environment, we do see a customer that's very value-oriented." Customers are flocking to clearance and deals, while warmer weather caused a hit on high-margin categories like coats, per Spring.

The earnings rundown

Here's what Macy's shared in its official third quarter results, compared to Bloomberg consensus estimates:

• Net sales: $4.74 billion versus $4.75 billion expected

• Adjusted earnings per share: $0.04 versus $0.03

• Same-store sales: -1.3% versus -1.39%

Luxury chain Bloomingdale's same-store sales rose 1% for owned locations, driven by apparel, beauty, and its online businesses.

Cosmetics brand Blue Mercury clocked its 15th quarter of positive sales growth, up 3.3%, boosted by its skincare offerings.

The company updated its 2024 guidance. It expects revenue to come in between $22.3 billion and $22.5 billion, versus a prior range of $22.1 billion to $22.4 billion.

Same-store sales growth is expected to be flat to 1% lower year over year, compared to a drop of 2% to 5% previously expected.

As for its accounting investigation, people close to the matter said the employee acted alone, and did not pursue the acts for personal gains.