**New York, Jan 26 (Reuters) – Macy’s Inc (M.N) reported a better-than-expected quarterly profit on Thursday as the department store operator attracted more shoppers with promotions and discounts.**
The company’s net income rose to $257 million, or $1.14 per share, in the fourth quarter ended Jan. 28, from $239 million, or $1.04 per share, a year earlier.
Analysts on average had expected earnings of $1.03 per share, according to IBES data from Refinitiv.
Sales at stores open for at least a year fell 0.4%, better than the 1.9% drop that analysts had expected, helped by a 4.1% increase in online sales.
Total sales decreased 1.7% to $5.49 billion, also topping analysts’ average estimate of $5.43 billion.
Shares of the company rose 3.7% in premarket trading.
Department store chains have been struggling to cope with the shift of shoppers to online retailers, with many forced to close stores and lay off workers in recent years.
To counter that trend, Macy’s has been investing heavily in its online business and offering more exclusive products and experiences in its stores.
The company’s chief executive officer, Jeff Gennette, said in a statement that Macy’s had made .
