Key facts
- Macy's raised its annual sales and profit forecasts on Thursday.
- Strong performance at its upscale Bloomingdale's and Bluemercury chains drove growth.
- Macy's now expects fiscal 2026 net sales between $21.68 billion and $21.83 billion.
- The company forecasts annual adjusted earnings per share of $2.15 to $2.35.
- Second-quarter sales increased 1.1% to $4.87 billion.
Macy's raised its annual sales and profit forecasts on Thursday, driven by the strong performance of its upscale chains, Bloomingdale's and Bluemercury. The department-store operator's strategy under CEO Tony Spring prioritizes higher-margin luxury goods and full-price sales, while its namesake stores, which cater to more value-conscious shoppers, lag in growth.
Second-quarter sales rose 1.1% to $4.87 billion, surpassing analysts' expectations. Bloomingdale's saw comparable sales increase by 11.3%, and Bluemercury's comparable sales grew by 6.2%. In contrast, Macy's namesake stores experienced a 1.1% increase in comparable sales.
The company now expects fiscal 2026 net sales to be between $21.68 billion and $21.83 billion, up from its previous forecast of $21.50 billion to $21.75 billion. The adjusted earnings per share outlook was also revised upward to $2.15 to $2.35, from $2.00 to $2.20. Macy's noted that these forecasts account for macroeconomic and geopolitical uncertainties, as well as benefits from tariff refunds. The company received $116 million in tariff refunds, contributing 23 cents per share to its second-quarter earnings.