CINCINNATI (AP) — Despite a $59 million loss and a slump in sales in the first quarter, Macy's Inc. yesterday posted results that beat Wall Street expectations because of what analysts said were tight controls on expenses and inventories.

The loss resulted from lower sales and the cost of consolidating business units, Macy's said.

Losses totalled 14 cents a share in the three months ended May 3, compared with a profit of $36 million, or eight cents a share, in the same quarter a year ago, Macy's said. Revenue was $5.75 billion, down from $5.92 billion a year ago.

Macy's booked a $55 million after-tax charge, or 13 cents a share, for the restructuring that the retailer said should start saving money next year. Macy's also set aside $14 million after tax, or three cents per share, for a potential settlement of a wage and hour class-action lawsuit in California.

Stripping out unusual charges, earnings from continuing operations were two cents a share, Macy's said.

Analysts polled by Thomson Financial forecast a loss of two cents a share on revenue of $5.6 billion.