Macy’s delivered positive results during its fiscal second quarter, reporting comparable sales growth of 2.7% across the company while advancing its ongoing restructuring efforts. The Macy’s nameplate brand achieved 1.1% comparable sales growth, with expansion primarily attributed to reimagined store locations that have undergone strategic renovations. The company’s higher-end divisions performed notably better, with Bloomingdale’s comparable sales rising 11.3% and the beauty brand Bluemercury increasing 6.2%.
In response to the quarterly performance, the company increased its full-year financial projections. Net sales guidance moved to a range of $21.68 billion to $21.83 billion from the previous expectation of $21.5 billion to $21.75 billion. Comparable sales outlook was elevated to between 1% and 1.5% growth from the prior range of 0.5% to 1.2%. Earnings per share guidance rose to $2.15 to $2.35, compared with the earlier range of $2 to $2.20, which included an anticipated 5-cent per-share benefit from tariff refunds.
The retailer reported net income of $169 million, or 62 cents per share, in the quarter, compared with $87 million, or 31 cents per share, in the year-earlier period. Sales totaled approximately $4.87 billion, up from $4.81 billion a year prior. Credit card revenue increased 2%, or $3 million, reflecting healthy credit portfolio performance and stable net credit card losses.
Macy’s received $116 million in tariff refunds and announced plans to invest approximately $96 million of that amount into customer experience enhancements and the broader turnaround strategy rather than temporary price reductions. Chief Executive Tony Spring emphasized the company’s focus on long-term improvements and noted that a portion of the refunds would be retained to manage uncertainty around fuel costs. Despite the positive quarterly results and raised guidance, Macy’s shares declined nearly 5% on Thursday.
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