Macy's Net Income Up 470 Percent in Q1

CINCINNATI-With net sales up and key expense metrics down, Macy's reported a 470 percent gain in first-quarter net income, to $131 million.

Declaring that the department-store retailer is building a "culture of growth," Terry Lundgren, chairman, president and CEO, said the company's results were a combination of "strong top-line sales, disciplined margin and expense management, improved credit performance and lower interest expense." Net sales for the quarter, which ended on April 30, rose 5.7 percent to $5.9 billion. The sales pickup included a 5.4 percent increase in same-store sales and a 38.3 percent gain in sales from both and

Selling, general and administrative expenses were down 1 percent in dollars and 230 basis points as a percentage of sales, to 33.5 percent, and interest expense was shaved by 28 percent. Macy's gross margin did slip 30 basis points to 39.1 percent.

Lundgren added that Macy's is still in the "early innings" of it current strategies--encompassing the My Macy's merchandise-localization initiative, enhanced sales training, exclusive and differentiated merchandise and multichannel integration. "We are also developing and testing a wide range of new ideas and innovations that will allow us to evolve with our customers and continue to improve our performance," he said.

HFN Staff | News & Commentary

HFN provides detailed information on the key home classifications: Housewares, Tabletop, Floor Covering & Rugs, Furniture, Home Textiles, Lighting, Home Decor, Mattresses & Bedding, Gifts, Major Appliances and Consumer Electronics as well as Business, Finance and Retail.


  • Von Tobel Cites Brass Textures Among Top Trends

    Camera Icon   More Videos

Subscribe to
HFN Omnichannel
Receive the news you need to know about the trends in the industry delivered right to your inbox.

Current Issue

  • HFN cover for September 2017


    September 2017


    2017 State of the Industry Report
    Cautious Optimism, Mixed Results

    Many expected 2016 would be a banner year, but the political and economic climate softened consumer confidence. It was also a year consumers spent more lavishly on home remodeling rather than decorating.


    •  TJX Unveils First U.S. Homesense Store - In a time when retailers are reducing store counts, TJX continues to get physical.
    •   Ikea’s Fluid Spaces - The retailer’s new intros reflect multifunctional rooms.
    •  N.Y. Home Fashions Market Preview - Textile textures get soft and cozy, colors warmer.