Macy’s has reported mixed results for the first quarter of 2025, with net sales dropping by 5% to $4.6 billion.
Additionally, the retailer’s comparable sales went down by 2%; however, the brands under its umbrella, Bloomingdale’s and Bluemercury, experienced comparable sales growth.
Bloomingdale’s comparable sales went up by 3%, while Bluemercury’s comparable sales inched up by 1.5%.
Despite delivering declining sales, the retailer beat its previous guidance, which is an indication of the progress of its turnaround strategy.
Tony Spring, Macy’s chairman and CEO, said: “We continued to execute against our Bold New Chapter strategy during the quarter, scaling key initiatives that improved our customer experience and contributed to stronger than expected performance across all three of our nameplates.
“Our first quarter results give us confidence that we have the right strategy and team in place to navigate the current environment while we continue to invest in our customer on the path to returning Macy’s, Inc. to sustainable profitable growth.”
The retailer ended the first quarter with adjusted earnings per share of $0.16 compared to $0.27 in the year prior.
Macy’s cited the mounting pressure from increasing tariffs and lowering consumer sentiment as the reason behind the mixed results posted.
The retailer maintained its guidance for its net sales, expected to achieve $21.0 billion to $21.4 billion for the full fiscal year.
However, Macy’s adjusted its projected earnings per share to $1.60 to $2.00 compared to $2.05 to $2.25 in March due to the additional impact of tariffs and the slowdown in overall sales.
Other retailers in the US, including American Eagle and Crocs, have completely withdrawn their future outlook amid changing trade rules.
Macy’s also downsized and shuttered a number of locations in an effort to streamline its underperforming stores as it struggles to stay afloat.
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