Financial Performance and Strategy
reported a reduction in sales and profit for the first quarter, attributing the impact to cautious consumer behavior and tariffs, but exceeded most performance expectations.
The retailer plans to offset tariff impacts by selectively increasing prices on certain items and reducing its reliance on Chinese imports, with Tony Spring emphasizing a targeted approach to price adjustments.
Market and Operational Adjustments
Despite the challenges, Macy's maintains its annual sales forecast but has adjusted its profit guidance downward, reflecting the financial strain due to tariffs.
The company is actively diversifying its product sourcing and has cancelled or delayed orders that do not meet its value criteria, aiming to mitigate the financial impact of tariffs.