Macy's reported second-quarter results that beat expectations and raised its full-year outlook, though the stock slipped as much as 8% following the Thursday morning announcement. Net sales rose 1% year over year to $4.87 billion, edging estimates of $4.82 billion, while reported adjusted EPS reached $0.63, up from $0.35 a year ago, a figure that included a $0.23-per-share net benefit from tariff refunds; excluding that benefit, adjusted EPS was $0.40, a 14% year-over-year increase that still topped expectations of $0.37. Companywide comparable sales increased 2.7%, the fifth consecutive quarter of positive comps, with Reimagine 200 Macy's locations up 1.9%, Bloomingdale's up 11.3% to its highest second-quarter sales volume ever, and Bluemercury up 6.2%. Management raised its fiscal 2026 outlook to net sales of $21.68-$21.83 billion and adjusted EPS of $2.15-$2.35, compared with its previous EPS forecast of $2.00-$2.20. Macy's generated $586 million of operating cash flow in the first half, more than double the $255 million a year earlier, producing roughly $297 million of cash flow after capital expenditures, which comfortably covered the $101 million paid in dividends; the company declared another quarterly dividend of $0.1915 per share, or about $0.77 annually, representing only about 34% of the midpoint of its updated adjusted EPS guidance. Macy's finished the quarter with $1.3 billion in cash, up from $829 million a year ago, against $2.4 billion of total debt, with no material long-term debt maturities until 2030.
Macy’s IncMacy's beat Q2 estimates and raised its fiscal 2026 outlook on higher sales and EPS.
