Macy's profit and sales declined in the third quarter as the department store chain wrestled with cautious spending by customers, rising competition and sluggish demand for cold-weather goods. Macy's full quarterly financial report was delayed after it discovered late last month that an employee intentionally hid as much as $154

Macy's on Wednesday cut its annual profit forecast, as it struggles with increased promotions during the holiday shopping season amid weak demand at its eponymous stores, sending the shares of the department store chain down 7% before the bell.

Macy's financial woes continue with the company reporting a notable dip in third-quarter profits and sales, reflecting a consumer trend toward prioritizing essentials like groceries over discretionary spending.