As decades-high inflation erodes consumer buying power for garments and other discretionary items, particularly among lower-income buyers, Macy’s Inc. lowered its full-year sales and profit estimates on Tuesday.

The department store chain is seeing lower sales than its competitor Kohl’s Corp. as a result of a drop in the demand for athleisure and casual clothing as well as harsher discounts to clear out surplus inventory.

In contrast to its earlier prediction of $4.53 to $4.95 per share, Macy’s said it now anticipates fiscal 2022 adjusted earnings of $4.00 to $4.20 per share.

As demand is squeezed by inflation, KOHL’s reduces annual forecasts.

MACY’S INC., Ticker Security, Last Change Change% 16.71 0.05 0.30%

Shares of BED BATH AND BEYOND INCREASE AGAIN MIDDLE RETIRED INVESTOR FRENZY
In contrast to its earlier view of $24.46 billion to $24.70 billion, the business predicted net sales of $24.34 billion to $24.58 billion in 2022.