Macy’s beats Q4 estimates as Bloomingdale’s sales surge

Macy’s (NYSE:M) reported fourth-quarter 2025 financial results that cleared the high end of its previous guidance, driven by robust luxury demand and an accelerating turnaround within its core department store fleet.

The retail giant posted net sales of $7.6 billion for the quarter, supported by a 1.8% increase in comparable sales across the enterprise.

The company's luxury and beauty segments remained significant outliers in a shifting retail landscape.

Bloomingdale’s reported a standout 9.9% increase in comparable sales, while the beauty-focused Bluemercury chain saw growth of 1.3%.

Within the flagship Macy’s brand, "go-forward" comparable sales—which track the locations the company intends to maintain long-term—rose 0.6%.

This figure was bolstered by the "Reimagine 125" initiative, where revamped locations saw comparable sales growth of 0.9%.

On the bottom line, Macy’s achieved GAAP diluted earnings per share (EPS) of $1.84.

On an adjusted basis, diluted EPS reached $1.67, significantly exceeding the company’s forecast for the period.

Executives pointed to disciplined inventory management and the early success of its portfolio optimization strategy as key drivers for the earnings beat.

Looking ahead, the company provided guidance for fiscal year 2026, signaling a continued focus on its "Bold New Chapter" strategy.