Macy's sees strong year ahead following brisk holiday sales

Feb 26 (Reuters) - Strong holiday period sales helped Macy's Inc forecast yearly profits above Wall Street's expectations, and the department store chain forecast that same-store sales would rise again this year.

Macy's, which also operates the Bloomingdale's chain of luxury stores, said it expected same-store sales to rise about 3.5 percent during the year and forecast earnings of $3.90 to $3.95 a share, compared with an average Wall Street estimate of $3.41, according to Thomson Reuters I/B/E/S.

The retailer reported net income of $730 million, or $1.83 per share for the quarter that ended Feb. 2, compared with a profit of $745 million, or $1.74 per share a year earlier.

Sales rose 7 percent to $9.35 billion.