US omnichannel retailer Macy's Q1 FY21 sales drop to $3 bn

Macy's, a US-based premier omnichannel retailer, has recorded sales decline to $3.0 billion in its first quarter (Q1) of fiscal 2021 ended on May 1, 2021, compared to the sales of $4.7 billion in the corresponding period prior fiscal. The company’s net income for the reported quarter increased to $103 million (Q1 FY20: loss $3.6 billion).

 

“In our first quarter we outperformed sales expectations across all three of our brands: Macy’s, Bloomingdale’s and Bluemercury. We built on our momentum from the fourth quarter and our sales trend continued to improve throughout the first quarter,” Jeff Gennette, chairman and chief executive officer of Macy’s, said in a press release.

 

“These results were driven by the positive effects of the government stimulus programme and expanding vaccine rollout, coupled with the accelerated execution of our Polaris strategy, including investments in our digital platforms. Macy's remains a fashion and style source for customers as a digitally led omnichannel retailer,” Gennette added.

 

Digital sales for Q1 FY21 rose 34 per cent, representing 37 per cent of the net sales. The company’s operating income was $215 million (loss: $4.1 billion).

 

“As we look to the rest of the year, we are hyper-focused on meeting consumers’ demand for speed, convenience and a seamless omnichannel shopping experience. We also continue to evolve our merchandising strategy, and we remain a partner of choice for top brands with more collaborative and profitable vendor relationships,” Gennette said in the release. “With a healthier economy and the reopening of communities as the backdrop to the execution of our Polaris strategy, we are well positioned to deliver sustainable, profitable growth in 2021 and the years beyond.”