Macy’s has raised its full-year sales and earnings guidance after reporting its strongest first-quarter comparable sales growth in four years.

In the quarter ended 2 May 2026, comparable sales rose 3%, while net sales increased 1.8% to $4.68bn.

Net income was $63m, or 23 cents per diluted share, up from $38m, or 13 cents per diluted share, a year earlier.

Bloomingdale’s led the group’s performance, with comparable sales climbing 10.2%, its seventh straight quarter of growth.

The Macy’s banner posted a 1.6% increase in comparable sales, while Bluemercury recorded a 6.4% rise.

The company also said comparable sales at its 200 Reimagine stores, which have received targeted investment, grew 2.4% during the quarter.

Gross margin was 38.9%, down 30 basis points from the same period last year.

Macy’s said that excluding a 30 basis-point impact from tariffs, gross margin was flat year-on-year.

Macy’s chairman and CEO Tony Spring said: “We’re off to a strong start to the year, exceeding expectations for the fifth consecutive quarter as our 'Bold New Chapter' strategy continues to build momentum.

“Customers are responding – driving comparable sales growth at Macy’s and another standout quarter at Bloomingdale’s, underscoring its leadership in modern luxury. We’re operating with discipline and focusing on what matters most – our customers.”

On the back of the first-quarter performance, the retailer lifted its full-year net sales forecast to $21.5bn-$21.75bn, compared with its earlier guidance of $21.4bn-$21.65bn.

It now expects comparable sales growth of 0.5%-1.2% for the year, compared with its previous forecast of down 0.5% to up 0.5%. Adjusted diluted earnings per share guidance was also raised to $2-$2.20 from $1.90-$2.10.

At the end of the quarter, Macy’s had $1.3bn in cash and cash equivalents and $2bn available under its credit facility. Total debt stood at $2.4bn.

The company said it returned $50m to shareholders through its quarterly dividend and repurchased $50m of shares during the period.