Thanks to its Polaris turnaround strategy, Macy’s Q1 has been been more than impressive.
The US clothing retailer has seen its first quarter sales go up by a good 13.6 per cent to post US $ 5.3 billion, with overall comps rising by 12.4 per cent.
The quarter saw the retailer’s e-commerce grow by 2 per cent year-over-year (Y-o-Y), while the same rose by an impressive 34 per cent when compared to 2019.
Here it is important to state that digital sales penetration was down by 4 percentage points Y-o-Y to 33 per cent of net sales.
The Q1 inventory went up by 17 per cent Y-o-Y and 10 per cent on two-year basis.
Macy’s first quarter gross margin rose from 38.6 per cent to 39.6 per cent, while the net income grew at a rate of 178 per cent to US $ 286 million.
Going forward, Macy’s, reportedly, has plans to diversify with an online marketplace that will comprise third-party merchants selling via Macy’s and Bloomingdale’s sites.
Macy’s is known for apparels, footwear, fashion accessories and bedding, amongst others, and earned annual revenue of US $ 24.8 billion as of 2017.
