Macy's Reports Another Drop in Sales but Sees 'Traction' in Turnaround
Macy's Sales Dip Again: Real Turnaround or Hype?
Macy's reported a decline in comparable-store sales by 1.2% in the U.S., marking another quarter without sales growth since early 2022. Despite a profit of $62 million, this figure is significantly lower than the previous year. However, sales at Bloomingdale's and Bluemercury showed improvement. Macy's has adjusted its annual sales forecast slightly upwards and anticipates continued consumer pressure due to inflation. The company's stock showed a marginal increase in premarket trading.
What was the percentage change in sales for the Macy's brand, Bloomingdale's, and Bluemercury respectively?
The sales performance for each of Macy's brands varied in the reported quarter. The Macy's brand experienced a decrease in sales, falling by 1.6 percent. In contrast, sales at Bloomingdale's saw a modest increase of 0.8 percent. Bluemercury performed the best among the three, with sales rising by 4.3 percent.
How does Macy's first-quarter profit this year compare to the same quarter last year?
Macy's first-quarter profit this year was $62 million, which is less than half of what it made in the same quarter last year. The profit in the first quarter of 2023 was $155 million. This decrease in profit can be attributed to higher costs and other financial challenges that the company faced during the first quarter of 2024. Despite these challenges, Macy's raised its outlook for sales and profits, sending shares up more than 3% in pre-market trading5.