Shares of Macy's were up nearly 12% in morning trading.

Luxury names (see subsidiaries: Bluemercury and Bloomingdale's) have had strong sales, outperforming the rest of the company. Pattern of spending shift being seen as people return to in person work and are spending more to buy dressier clothing, shoes, and makeup.

For the Q3, Macy's net income fell to $108 million, or 39 cents per share unadjusted, down from $239 million, or 76 cents per share, a year earlier.

Earlier this week, retail earnings have been less than merry. Both Walmart and Target reported a noticeable pullback of sales in categories like apparel, electronics and home goods as shoppers spent more on necessities. Target slashed its targets going into the holiday season, saying weaker sales have continued into November.

Macy's, by contrast, stood by the revenue guidance it gave in August, saying it still expects a range of $24.34 billion to $24.58 billion for the fiscal year. It raised its annual adjusted earnings per share forecast to $4.07 to $4.27 per share, up from its previous range of $4 to $4.20.

Source: CNBC