Macy's Posts Four Consecutive Quarters of Comparable Sales Growth, Raises Full-Year Guidance
Alina Collins
Macy's delivered 3% comparable-sales growth in Q1 — its strongest first quarter in nearly four years and fourth consecutive positive quarter — then raised full-year guidance as its turnaround strategy keeps delivering.
How strong was this quarter, really?
Q1 comparable sales rose 3%, well above analysts' 1.4% estimate and up from 1.8% last quarter.
Net sales reached $4.68 billion, roughly 1.8% higher year-on-year, in line with Wall Street expectations.
Net income hit $63 million ($0.23/share), up nearly 66% from $38 million ($0.13/share) a year ago; adjusted EPS of $0.13 beat the Street's $0.03 estimate.
This means → revenue held to consensus, but profit and comp sales were the real upside — store-level efficiency is improving, not just top-line expansion.
Which of the three brands stood out?
Bloomingdale's posted a 10.2% comp-sales surge, setting an all-time Q1 sales-volume record for the brand.
Bluemercury grew comps 6.4%; the namesake Macy's stores grew 1.6%.
In plain terms = the premium line (Bloomingdale's) and the beauty line (Bluemercury) are leading the charge; the flagship Macy's brand is growing too, but noticeably slower.
Why did Bloomingdale's suddenly accelerate?
Some retail analysts point to the bankruptcy filing and store closures at Saks Global, parent of Saks Fifth Avenue and Neiman Marcus.
This means → a gap opened in the luxury-department-store market, and Bloomingdale's captured the redirected foot traffic and market share.
In plain terms = a rival fell, and Bloomingdale's picked up the windfall — how long this lasts depends on Saks's restructuring progress.
How much did the full-year guidance move?
Full-year net-sales guidance lifted from $21.4 B–$21.65 B to $21.5 B–$21.75 B.
Full-year comp-sales outlook shifted from −0.5% to +0.5% to +0.5% to +1.2% — from "might still shrink" to "definitely growing."
Adjusted diluted EPS guidance raised from $1.90–$2.10 to $2.00–$2.20; the FactSet consensus stands at $2.09, right in the middle of the new range.
What is the CEO doing — and where is the macro risk?
CEO Tony Spring, who took the role in early 2024, has been closing loss-making stores, upgrading top-tier locations, strengthening customer service, and expanding exclusive merchandise.
He said: "We started the year strong, operating with discipline and focused on what matters most — our customer."
Macro headwinds loom: U.S. average gasoline prices have stayed above $4 per gallon since March (up roughly 40% versus pre-Iran-war levels, per AAA data), compounded by tariff uncertainty and inflation pressure.
This reflects a split story — Macy's own turnaround is working, but consumers' wallets are being squeezed by fuel costs and rising prices. Whether growth holds in the second half hinges on the macro backdrop.
Content is for reference only, not financial advice.