Macy's (M) Q2 2025 Earnings
GAAP EPS of $0.31 includes $22 million in impairment, restructuring and other costs ($0.08/share) and $13 million loss on extinguishment of debt ($0.05/share), partially offset by $9 million tax benefit ($0.03/share)
How Did M Stock React to Q2 2025 Earnings?
S&P 500 over the same 30 days: +3.96%.
Did M Beat Earnings? Q2 2025 Results
Yes. Macy's reported Q2 2025 earnings of $0.41 a share on Sep 3, 2025, beating the $0.19 consensus estimate by 119.7%. Revenue was $5.0B against a $4.7B estimate.
Macy's delivered a stronger-than-expected second quarter, posting adjusted diluted EPS of $0.41 against a consensus estimate of $0.19, a beat of roughly 119.72%, while revenue of $5.00 billion cleared the $4.70 billion estimate by 6.31%, even as net sales slipped 1.9% year over year. The standout driver was comparable sales momentum, with owned-plus-licensed-plus-marketplace comps rising 1.9% across all three nameplates, marking the strongest such growth in 12 quarters and reflecting early traction from the company's "Bold New Chapter" transformation strategy. Bloomingdale's was a particular bright spot, delivering O+L+M comp growth of 5.7% for its fourth consecutive quarter of gains, while the 125 reimagined Macy's locations continued to outperform the broader nameplate. The quarter included $22 million in restructuring and impairment charges and a $13 million loss on debt extinguishment, though Macy's simultaneously reduced net long-term debt by approximately $340 million. Looking ahead, management raised full-year adjusted diluted EPS guidance to $1.70 to $2.05 and net sales guidance to $21.15 billion to $21.45 billion, even as tariff-related gross margin pressure in the second half and a more selective consumer remain key watch items.
- Strongest comparable sales growth in 12 quarters with O+L+M comps up 1.9%
- Reimagine 125 locations outperforming broader Macy's nameplate with owned comps up 1.1%
- Bloomingdale's fourth consecutive quarter of comp growth with O+L+M comps up 5.7%
- Bluemercury 18th consecutive quarter of comp gains at 1.2%
- Credit card net revenues increased 22.4% to $153 million
- SG&A decreased $29 million from benefit of closed locations and cost containment
“Our teams achieved better than expected top- and bottom-line results during the second quarter, driven by our strongest comparable sales growth in 12 quarters, reflecting the strong performance in Macy's Reimagine 125 locations, Bloomingdale's and Bluemercury.”
Macy's CEO, on the earnings call
What Was Macy's's Outlook in Q2 2025?
Macy's raised its full-year 2025 guidance. Net sales are now expected at $21.15 billion to $21.45 billion (up from $21.0 billion to $21.4 billion). Adjusted diluted EPS guidance was raised to $1.70 to $2.05 (up from $1.60 to $2.00). Comparable O+L+M sales are expected to decline approximately 1.5% to 0.5% versus 2024 (improved from down ~2.0% to ~0.5%). Go-forward business comparable O+L+M sales are expected down ~1.5% to approximately flat. Adjusted EBITDA as a percent of total revenue and Core Adjusted EBITDA as a percent of total revenue guidance remain unchanged at 7.4%-7.9% and 7.0%-7.5%, respectively. The updated guidance reflects Q2 outperformance and anticipated gross margin impact from tariffs in Q3 and Q4, while assuming a more selective consumer in the second half of 2025.
M YoY Financials
| Metric | Q2 2025 | Q2 2024 | Year over year |
|---|---|---|---|
| Revenue | $5.0B | $5.1B | −1.9% |
| Gross Profit | $1.9B | $2.2B | −11.4% |
| Operating Income | $149.0M | $222.0M | −32.9% |
| Net Income | $87.0M | $150.0M | −42.0% |
M Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.