Macy’s Lowers Outlook for 2022 Despite Solid Q2 Results

Macy’s (New York) released its financial results for Q2, reporting that its sales are trailing 1.5 percent behind Q2 of last year. As a benchmark of recovery from the impact of the pandemic, the storied department store retailer did report a sales climb of 4.3 percent from Q2 2019.

While many consumers have tightened their discretionary spending, Macy’s reports its  shoppers still generated strong sales in occasion-based categories, including career and tailored sportswear, fragrances, shoes, dresses and luggage. Though Macy’s comparable store sales fell 2.9 percent, Bloomingdale’s comparable sales were up 8.8 percent, driven by strength across women’s, men’s and children’s apparel, as well as luggage. Bluemercury comparable sales rose 7.6 percent.

“During the second quarter, we delivered solid results, despite the challenging environment,” says Jeff Gennette, Chairman and CEO of Macy’s, Inc. “Additionally, Bloomingdale’s and Bluemercury captured demand for luxury brands, resulting in both nameplates outperforming in the quarter.”

Still, the company lowered its outlook for the remainder of the year, seeing the continued decline in discretionary spending.

“Over the past two years, our Polaris strategy has made us faster and more agile, which has been essential to navigate rapidly changing consumer trends and macro conditions,” Gennette says.