What Happened to Macy's, Inc.?

Macy's, Inc., originally founded as R. H. Macy & Co. in 1858, has evolved from a single dry goods store into a prominent American retail holding company. After being acquired by Federated Department Stores in 1994, and subsequently acquiring The May Department Stores Company in 2005, Federated itself was renamed Macy's, Inc. in 2007, solidifying its national presence.

In the early 21st century, Macy's, like many traditional department stores, faced immense pressure from the rise of e-commerce, changing consumer preferences, and increased competition. This led to years of sales slumps and the need for a significant strategic overhaul. In February 2024, under new CEO Tony Spring, Macy's, Inc. unveiled its "Bold New Chapter" strategy. This ambitious plan aimed to strengthen the Macy's nameplate, accelerate luxury growth through Bloomingdale's and Bluemercury, and modernize operations. A key component was the optimization of its physical footprint, announcing the closure of approximately 150 underperforming Macy's stores over a three-year period, with 50 by the end of 2024, 66 in 2025, and an additional 14 in 2026.

Alongside store closures, the strategy involves significant investment in the remaining 350 "go-forward" Macy's locations, focusing on improved shopping experiences, relevant assortments, and enhanced customer service. The company also committed to expanding its luxury segments, with plans to open new Bloomingdale's and Bluemercury stores. Digital transformation and omnichannel capabilities are also central to the strategy, aiming for seamless integration between online and in-store experiences.

The "Bold New Chapter" strategy began to show promising results in fiscal year 2025. The company reported a return to positive comparable sales growth of 1.5% for the full year, exceeding guidance, with net sales of $22.62 billion. This momentum continued into 2026. Macy's, Inc. reported strong first-quarter 2026 results on June 3, 2026, with enterprise-wide comparable sales increasing by 3.0%, its best first quarter in four years. Bloomingdale's saw particularly strong growth, with comparable sales up 10.2%. Following these results, the company raised its full-year 2026 outlook for net sales and adjusted diluted EPS.

Most recently, on July 30, 2026, Macy's, Inc. announced its Q2 2026 earnings, reporting an EPS of $0.13, which dramatically surpassed analyst estimates. While revenue figures for Q2 2026 were not disclosed in the release, the strong bottom-line beat was attributed to disciplined cost management, tighter inventory control, and the ongoing success of its strategic initiatives. As of August 9, 2026, Macy's continues to execute its turnaround plan, with a focus on optimizing its store fleet, enhancing its digital presence, and leveraging its luxury brands to adapt to the evolving retail landscape.