Macy’s Forecasts FY26 Sales of $21.4bn–$21.65bn with Flat Comp Growth

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Macy’s forecasts FY26 net sales between $21.4bn and $21.65bn after FY25 net sales dropped 2.4% to $21.8bn, with comparable sales up 1.5%. Guidance for FY26 comparable sales ranges from a 0.5% decline to 0.5% growth, while FY25 gross margin fell 40 basis points to 38.0%.

1. FY26 Sales Guidance

Macy’s expects FY26 net sales between $21.4bn and $21.65bn, with comparable sales projected to range from a 0.5% decline to 0.5% growth as macroeconomic and tariff pressures weigh on discretionary spending, especially in the first quarter.

2. FY25 Sales and Comparable Growth

In fiscal 2025, net sales declined 2.4% to $21.8bn while comparable sales rose 1.5%, driven by 1.7% gains in go-forward operations; Bloomingdale’s comps jumped 7.4% and Bluemercury’s comps increased 1.6%.

3. Margin and Expense Trends

Gross margin rate fell 40 basis points to 38.0% due to tariff impacts and markdowns, and SG&A expenses decreased by $90m to $8.2bn, leading to net income of $642m and EPS of $2.32.

4. Reimagine Initiative Expansion

The company plans to expand its Reimagine strategy by opening 75 additional stores to reach 200 locations in 2026, building on a 1% comp sales increase at existing Reimagine 125 sites to enhance customer engagement.

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