Macy's(NYSE) M

Macy's helps people find clothes and home goods easily. The long-established retailer sells products through stores, websites, and mobile apps under multiple brands, including Bloomingdale’s and Bluemercury. The company also offers beauty services and luxury fashion items.

What's in the Bag?

• Women's Accessories and Beauty: Cosmetics, fragrances, shoes, and jewelry; generated approximately $2 billion in net sales in the first quarter of 2026.
• Women's Apparel: Clothing for women, including dresses and career wear, accounted for $1.14 billion in net sales during early 2026.
• Men's and Kids': Apparel and accessories for men and children; reached $965 million in net sales in the first quarter of 2026.
• Home and Other: Furniture, housewares, and restaurant sales; totaled $589 million in net sales for the 13 weeks ended May 2, 2026.
• Credit and Media: Revenue from credit card accounts and the in-house Macy's Media Network advertising platform.

New Steps for Growth

• Introduced Rothy's, Donna Karan Weekend, and Ted Baker Men's brands in early 2026.
• Expanded the store improvement project to 200 total locations to enhance the customer shopping experience.
• Launched Ask Macy's, an artificial intelligence shopping tool shaped by customer data and insights.
• Updated the "Bold New Chapter" strategy to focus on luxury growth at Bloomingdale's and Bluemercury.
• Secured a $2.1 billion credit facility in April 2025 to provide liquidity for the next five years.

How They Stand Out

Macy's uses different brands like Bloomingdale's and Bluemercury to reach customers at various spending levels. The company operates an omni-channel model, meaning it sells through both stores and digital platforms, with digital sales accounting for 34% of total net sales in the first quarter of 2026.

A Look at the Numbers

• Total revenue reached $4.9 billion in the first quarter of 2026, up 2.1% year over year.
• Net income rose to $63 million in the first quarter of 2026, a 65.8% increase from the prior year.
• Free cash flow turned positive to $140 million in early 2026, improved from a $203 million loss in the same period of 2025.
• Comparable sales — which track performance across existing stores and websites — grew 3% in the first quarter of 2026.
• Operating cash flow increased to $292 million in the first quarter of 2026, up from a $64 million loss the year before.

Bottom Line

Macy's is shifting its focus toward luxury brands and digital sales while closing underproductive locations. This evolution centers on modernizing operations and improving customer satisfaction to maintain its position in the retail market.