Macy's (M) 21 May 242025 Q1 Earnings call transcript

Greetings, and welcome to the Macy's, Inc.

First Quarter 2024 Earnings Call. [Operator Instructions] As a reminder, this conference is being recorded.

I would now like to turn the call over to Pamela Quintiliano, Vice President of Investor Relations. Pamela, you may begin.

operator. you, Thank and everyone, joining us. Good thanks morning, for are me Mitchell, Chairman our the our today on call Tony and and Spring, CFO. With COO CEO; and Adrian been press Along website, our is during a quarter our live and the XXXX displayed webcast. with presentation section first macysinc.com, has today's posted being of on Investors release,

XX otherwise Unless otherwise to provide information prior outlook expectations, we on our refer provided versus to unless be noted, will the earnings our February or noted. comparisons references XXXX. call, guidance All

all marketplace addition, sales licensed throughout and In store to references growth owned plus our today's comp comparable represent locations, plus prepared noted. unless sales owned sales remarks growth for licensed otherwise plus growth

Act risks the differ the are are factors forward-looking to Exchange assumptions and uncertainties of harbor and subject filings discussion These Reform All contained A and safe subject our the these could from forward-looking mentioned to uncertainties statements with results Commission. of today. cause Securities actual detailed in the that to provisions and statements expectations XXXX. materially Private Litigation is Securities of

of operations, In results certain our measures. the we providing will non-GAAP discussing financial be

You can measures the well financial section these find regarding on website. others additional of our non-GAAP Investors as as information

is available webcast replay call. this call after website. the of will our approximately A Today's being on be conclusion hours X

With that, I'll turn it over to Tony.

updates first will Thanks, New as outlook. On our Pam, everyone. and full as on and results quarter our Bold provide second morning, call, we today's strategy well quarter year good Chapter and

discuss let's climate. the first, current But macro

X growth. and all to wage job Our from nameplates benefit continue customers strong across

their purchases. update our our fourth carefully to pinch. that well customers However, on will quarter provided as they're continue inflationary as pressures feeling and discretionary outlook persist, earnings assumes call today's The scrutinize

at Regardless the dynamic newness We are competitive responds price time. engaging promotional environment. we environment economic landscape points income and to an tier, know fashion real customer compelling in in reacting our of and reading to

the depth right and we composition balance. to to strike ensure evaluate We inventory continue

execute we growth; pillars modernize report Despite our the are: to we exceeded are luxury two, our the and all on of bolder to consumer, that in early ongoing the to one, our as chapter nameplate; plan which profitable Macy's our are to This pressure results although that on morning, confident three, of on the accelerate to simplify ability X we strengthen we pleased pillars, return growth days, or end-to-end EPS are operations. first and ahead to outlook. across quarter strategy, and

on New a is experience. with our we progress. initiatives update brief the across omnichannel a and acceleration Bluemercury, at Bold customer product, our skincare responding remains well Chapter while presentation to of growth advanced our differentiator contemporary are At Now a nameplate, and Bloomingdale's digital; pleased Macy's, and standout. largest luxury, In

our new nameplates, accelerate ability growth. strengthen that we omni both are will opportunities For store evaluating to

are operations, on network. end-to-end the are and to our advancing to and And strong distribution increase for centers, we locations our able reduce thoughtful In monetization. consolidate sheet, approach we non-go-forward with balance given across solutions capacity, costs actively automation to Macy's strategic our be and

pace the by dealmaking. encouraged are of and far thus traction good have We

working and The needs The our sure on together and organization New our and and are result. a palpable, Inc. is the Bold is They get single entire better Chapter meeting of every future making function to and Macy's to evolving a customers. our understanding of committed is focused success. enthusiasm engagement preferences level is

Comps $X.XX encouraging, by adjusted were were and the EPS report our sales of outlook, X.X% billion first our that was end and pleased outlook. down First of near I'm line to By nameplate, $X.X with XX our was led above high the Macy's our net were in of quarter to expectations. as based business's Inc. ultimately, to locations, as the XX pilots ability the ideas are Results an test Macy's indicator and to are that on served which First go-forward they new are The entire return early fleet gain. registered a go-forward growth. customer X.X% for comp Macy's feedback.

our do First represent customers' expectations. The we on we deliver XX what can when

first merchandising expanded price the product quarter, through elevated of new been promotional planned sell-throughs has Full rollouts. assortments we During enhanced and strong. and

vendor our embracing our truly differentiation joining journey. quality our They helping and support. Importantly, are appreciate are and us the and and bar in the we commitment with raise the their partners of us both assortments,

life. styling quarter, such as piloted fashion we new shows, sessions, retailer's beauty bottle Activations bringing also to and fragrance engraving personal During marketing the animation, craft stations. theater services included and

sales these engaged drivers. and serve events strong customers traffic Our and as were

out to all First and well to other and store quarter, were staffing. stores. were points added changes received These Scores by the Macy's area checkout XXX departments Net basis during customers. XXX conversation, points merchandise the Rounding we staffing shifted Promoter above our roughly XX basis improved and over year-over-year our key merchandise visual

newness assortments. a Improvements are we and Within apparel, opportunity us, well we expanded distribution of brand the introduced areas Customers several brands both not important limited new softness market most offering experienced have XX. are product in nameplate, address to for where where seeing we're to our our Donna responding men's price are Karan, in in to First entire Across categories. resistance. no and we women's which Macy's is

Hugo French select customer partially Boss, offset was few. to Free in distribution Karl weakness People, weather to response Lagerfeld Positive warmer content just newness fashion name categories. a expanded also and by We Connection, of in

moving forward private brand planned. is as initiative apparel Our

ones. brand completed new reimagined exits and have several of the majority launched We and our

our and we'll year, During be the Co, This are led have the Impressions. contemporary the brand, private Epic First will introduce which of this outperform launch phase. quarter, continued refreshing apparel initiative, we Threads this segment. which And & Style women brands, to men's a new later last I.N.C. the kids and summer, Macy's

expect levels in the depressed remain historic improvements to as private In to transition we brand the realize volumes term, beginning sales continues, near relative this and to later year.

Macy's XX% sales, represented reflecting women's the a of XXXX, about in of private fiscal exit heritage several As reminder, brands brands.

engaged. In fiscal and and overall our recover begin on is our shoes brand primarily there working believe by expectations, challenged, categories. offset fragrances, business to a we've keeps women's ongoing team Dior, in than Home, stores in key We the to in Big Valentino, jewelry, although Carolina of by complete driven and accessories driver, plan an be and The with and Chanel, remains as recent Beauty standout our refresh strengths Herrera our was handbags. Ticket selection YSL, opportunity customers XXXX. market a traffic online weakness strong presentation Home brands in to well actively some seen matrix, we the brands, including in private certain as and fine of continued Beyond apparel, traction better lost sales. is

is Macy's shopping It optimizing also Chapter across source our Digital and a journey, both an customer progress platforms. to of and expanding the is and Bold experience including of enhancing commerce strategy. making greatest of omni important a team Under on is addressing friction gateway brand as places new the engagement. the part New the leadership, serves and

an online with has registry brands, baby we over which new XXX been Recently, launched well received.

provides customer wallet. of Marketplace an their to share and a gain greater better addition, In serve our opportunity

of the offering graduation For year, and electronics compelling Day Father's selection season. a example, we're for this

to kicked floral over Annual to Flower Dior. varieties. scents closely interactive our plants, partnered were a cohesive create digital perfumes Christian around installation origins different installations working The an XX supported components, Miss using and activation about centered with XX,XXX by the including representing individual Dior Dior Herald online of modern Our the where together We events Square spring are Show, we and off teams XXth Macy's in and leverage experience. and marketing iconic season create with

a We modern are Head of excited the brand, for hits which our and of newest beginning interpretation Macy's the summer, of Marketing. first is our the the marketing campaign, of under greatest represents new

year, Laurel, Macy's Jersey. we small With adjust. XX,XXX continue each Finally, track new year-end. learn to square We Mount introduce XX remain more during by opened the New XX in the bringing we quarter, to to a total on and foot format this opening,

Turning Bloomingdale's and first the across Both unique private and experiences quarter be and expectations. to continue brand our price love of market results loyalty points. foster our line customer selection to brands in spots curated Bloomingdale's, through At bright portfolio. were luxury. within Bluemercury with and

more upscale the While the categories gain our Bloomingdale's and allowing the there the position diversification it categories has across of immune even macro judicious has the their adjust quickly to is its popular not wallet tools It pressures become to flexibility and in as and is in points. with power market market, price and customer share spend, shifts brands. to to are

a for Contemporary private name the a complement Bloomingdale's income including apparel, [indiscernible], as beauty Lejons powerful few, Bloomingdale's the Along spend. During are Mother brands tiers received. category, well brackets increased their continued top [ like ] and engines contemporary brands at our to and to to quarter, be with our serve just growth. And total and matrix. X they loyalty household

Liat ready-to-wear year-over-year sales, quarter, increase a quiet collaboration AQUA registered celebrity the benefiting the its from stylist, Baruch. luxury-inspired During double-digit in with

collaborations strategy. we Outlet the have at to roughly us growing remain including through expansion outperform are 'XX, several this the Bloomingdale's to committed to new confidence presence, locations We the ahead, on open the physical both our XX and fiscal digital and concepts footprint later Bloomie's and Comps Looking X in year. are giving associated broader Bloomingdale's continuing fleet, upcoming exciting horizon. track on

Digital brand. continues the expression to Bloomingdale's be great and a strength of

helps Marketplace, Bloomingdale's. points. We of who and depth price across to customers appreciates have complemented the and been content, share new highly which breadth customers us loyal gain our amongst wallet and by customer assortment engaged enriches offering a our has This introduce

brand consecutive growth, driven care and key of strength experienced Paris, Augustinus in Bluemercury, partners, the and of Bader. quarter XXth our SkinCeuticals expansion including Sisley At skin comp continued we by

learnings inform stores at location the recent quarter. and underway, the and of enhanced a assortment selling Caney remodels open stores, had locations to new expanded with XX to about incorporate plans These positive others for Our on our and which an X our impact second which slated will the including X XX experience. aesthetic, least new remodels an Bluemercury elevated luxury Bronxville are and New from has client improves and model, future perception remodel

as Macy's, and investment to year continue Overall, XXXX view a we Inc. transition for fiscal

are early our the Bold Although stages, Chapter progress New are of we we on proud strategy. making

foundation collaborating and strategic improved teams make create we're sets an to future. will the are that decisions, making experience quick our for and serve Our customer to better and our investments

over I'll our detail it to provide our on that, hand performance Adrian recent and With outlook. more to

morning, and you, Thank good Tony, everyone.

teams Chapter our New thanking start support of Bold by our strategy. their for me Let

I've and and the out visiting commitment customers. As impressed been stores our in distribution to our I've centers, been the with dedication field

end all mentioned, of As net across encouraged sales our Inc. high largest X by our Macy's, were were impact go-forward Macy's. and Total and having enterprise investments enterprise near we're and year our the pillars last down on $X.X progress Tony and our from X.X% outlook. Inc. billion, comps strategy nameplate, of early Macy's year-over-year positive are X.X% the down the

Macy's go-forward Inc. Bloomingdale's rose as the For locations year-over-year. Bluemercury Macy's, plus digital, comps go-forward X.X% and business, defined

We are to business First trends. what Chapter Macy's growth. New pleased go-forward most ability our locations, predictors we that our they with and view return as as to evidence our XX Inc. We Bold the are closely tracking are emerging and investments are working, nameplate of Macy's go-forward profitable

At were were flat X.X%, the go-forward Macy's comps were and X.X% to last net comps down sales down business year. nameplate, while

of the XX% and First go-forward Macy's To store go-forward year. locations the indicator sales last of Our leading XX% close about nameplate these X.X% Macy's of XX, represented comp. positive achieved that enterprise as growth, size a which to we business, view the Inc. go-forward

a Bluemercury not sales to locations comp yet up non-go-forward nameplates, the At have The X%. a comps net compared all X.X% X.X% a X.X% in up for Bloomingdale's rose positive X.X% First X.X% negative all investments, go-forward sales negative and which comps for up locations. were were results were and luxury and net go-forward our remaining and received X.X%, growth XX locations,

higher the to and continued rates engagement. XX.X% Turning as Media team rest $XX XX.X% line losses with million, both $XX prior Delinquency net year. revenues the declined year vendor revenue year, were in from credit the increase of our Other the to to or Net credit P&L. from down XX.X% card to $XXX last Network than rose revenues were $XXX million, prior Macy's but million. the million expectations.

that basis we're decline appropriately Gross is quarter inventories delivery on than XX points The percent sales. X.X% fresh for better by basis points at quarter, year-over-year. right our additional we as XX.X%. outlook, both. customer expense, partially positioned value, was of primarily warm ensure the which goods are Discounting of up delivering offset and deliver newness second season. declined the to to we a discounting steeper for the recognize XX and for are improved our summer reflecting End margin rate well responding searching We pressure were slower-moving weather was products. Entering

year reflecting X% expense prior better was continued SG&A down our discipline. Next, $X.X than the cost our expectations, and billion, from

XX.X%, points prior of year. due diluted previously to $X.XX Adjusted higher SG&A As outlook than in the to EPS revenue. $X.XX. XX total was revenue, to total our the This of year a $X.XX percent compares and in last provided basis decline $X.XX was

Turning to allocation. cash and capital

operating For improvement from outflow we capital Free million. the quarter, while activities year-over-year of generated expenditures dividends. cash $XX was totaled million. an million, million, And million a flow $XX cash was cash $XXX $XXX paid in $XX of

will continue capital that aspirations. and supports flexibility growth We longer-term ensure prudently sheet to to healthy deploy financial our balance a

discuss With of we remainder that, how XXXX. are let's the approaching

and of quarter annual narrowing a our EPS beat. first our raising sales portion are outlook earnings We reflect our to range

operating of of on and the provides macro to year are New ahead, and respond cognizant the our second flexibility the promotional quarter our majority we With year recent outlook of continued consumer strategy, While also encouraged are dynamic traction and early the we the we're environment. Bold full in. environments pressure landscape and to competitive the Chapter by results

our year, of within up digital, $XXX to and includes $XX.X $XXX both X.X%, X% forecast flat in approximately our $XX.X be to which share, locations Macy's to up $XXX billion. the sales approximately be billion go-forward of inclusive to million, roughly balances Total approximately $XX higher approximately billion. revenue better-than-expected million portfolio. from to and Net of billion $XX.X to we Credit is to due to locations the of with above X.X%. nameplate resulting to prior of card revenues revenues now Macy's digital For $XXX nameplates profit Inc. luxury This non-go-forward expect comps, approximately million. million other down

continue We any fee potential to for exclude impact late the ruling.

full XX% margin from gross continued of sell-throughs be of brand targeted spring a as and of value-conscious opportunity. of to expect we and consumer. to SG&A price rate as address total ongoing sales elevated percent XX.X%, discounting inventory year expenses strategy of expansion, a partially adjusted warmer to to XX.X% and XX.X% our areas associated benefiting a to effectively as the promotions to weather support also X.X% higher revenue of We by X%. properly manage private And percent net EBITDA controls, product offset rate revenue full new total to of

for or There asset does expect capital of to we our sale diluted interest the and is which asset any After no year. repurchases. spend, EPS adjusted taxes, change $X.XX proceeds sale $X.XX, share gains assumptions to not assume

billion revenues million. flat For the $X.XX $X.XX second to quarter, other billion $X.X million. revenues sales we $X.X year's with are $XXX billion; $XXX to at with card about total Credit of expect expected be revenue net to of billion, last

normalizing midyear reminder, net outlook a increase XXXX annual the As to for rata our included the in pro credit results adjustment loss the environment. due credit

goods, remaining part reimagination $X.XX as locations. our EPS end-of-quarter digits to of broader of quarter-to-date spring assortments basis brands points seasonal to excess men's national tests clearance the least heightened conduct liquidation we go-forward Gross on brands and margin our lapping of select than of rate discounting in be be last Adjusted private XX private planned and $X.XX year, and XXX at better up as to of last low additional inventories the reinvest markdowns reflecting to strategy. the brand year, in First and single

and to and to we Despite up, remain our on financial growth. Macy's, ongoing our XXXX wrap to return momentum Chapter To pressures we the future are our fiscal our Bold macro are profitable encouraged prospects. stated consumer, in Inc. excited previously New by targets committed strategy growth

Tony. to it hand now back I'll over

our Thank on a Chapter trajectory. firmly Adrian. to path change sets us Bold New A you,

our that days, our sustainable are belief and Macy's value. can Although cash gaining profitable growth, early Inc. accelerate traction free to shareholder unlock reinforce flow return and investments generation

focus on the serving Our customer unwavering. is

we that in strategy look to have you achieve We goals, progress. on team are right our and place our and confident forward the updating to

for ready questions. operator, we are that, With

is coming question Today's JPMorgan Matthew Instructions] of Boss [Operator first from Chase.

progress. between drive seeing quickly AUR you you're the to on elaborate doors, the And the the this you and XX X% what traffic key could First could on these initiatives, stores? scale comp you Congrats in which saw how maybe playbook? Tony, in X%

just any Adrian, margin And margin gross maybe expansion? expectations? back then change And quarter half in second merchandise drivers your on

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question your on margin. for you Thank gross

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look you As at you pleased we earnings how navigated first saw, we And that quarter. our very much results, delivered we're exceeded our outlook. quarter as the with first

Now on is focused experience. control and out, what pressure, also our delivering that recognize environment we we much as under can thing, only key control. the is Tony But on the pointed we very that remains the we're customer uncertain macro can that customer

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the quarter transitional entering you track than on needed your that in pivot This quarter something into relative of actions as discipline. is record we're actions as last composition. What saw can what the that we is to about really the that maintain a several in relates to last have -- we inventory quarter, product our leaned And you terms second more you If is volume took I we've the second to I less last year inventory health the proven first the the inventory, years. know, with and question inventory aged it to tell of and year.

enter here year. that balance enter as trying feel we're we on quarter, as positioned ourselves provide can more second we're an we the horizon. the And be So adjust well positioned for so what also is to and the respond on of summer whatever flexibility the the well environment of but do to season to that's the appropriate is navigate more competitive, based level that we promotional able that's we to

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Great luck. Best of color.

question next coming ISI. is The from of Michael Evercore Binetti

lift in And those that's versus what sell-through you planned? First impact in or This or any follow realizing stores? I price margins that enhancements stores. allocations these making up your Cheng Is for vendor with full wanted XX XX partners curious on is Warren you're a are you're in had driving engaging on First the the also mix to that driving if comment on vendor the the Michael.

for question. the Thanks, Warren,

I feel to that other. have we First is do We natural well, a vendors to think well the XX. engagement the have when do we sense and we think relative do a vendors I there seen well. obligation level partnership, when vendors of a And the of do well each that these

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so two a feel story I of And mutually-dependent it's partners.

think to we back brand the and partnerships private sure I that day, year. XX%. it closer going places Macy's, said they last of Bloomingdale's one get to XX% ideally, are business. we're make was But Maybe the businesses where we'll to Bluemercury to XX% to our lean feel best do into

XQ That's in wanted revenues. follow-up credit to you ask your than on really a expected. little bit card better I helpful. a And came

you us year You seeing credit over on the losses an the also last Can of how slightly. and give raised rest months? delinquencies trend the update you're X

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metrics, to our Citi delinquency very beat also well. in the also line the with But what of better-than-expected sharing our are profit terms first In the metrics, payment as quarter was expectations. with in much contributed they

from Ashley coming question next is of Jefferies. Helgans The

the about of For locations the fleet? at level was And of ticket those the how could versus much up the talk then stores that X.X%, versus you rest XX promotions First were maybe traffic?

rest the level promotion stores no of in of in was There difference Ashley. versus the Sure, fleet. those the

to was of a recipe. a right. analogy change we you The no traffic, customers comparable average are responding, all in ingredients So want a the there. as And have rate said, higher unit get increase means because recipe recipe to and conversion difference the retail. right in I a use the The to

want part our for do for to we're product getting the only their visual And business, merchants We're experience. part, the do getting the doing the for we're their stores First experiences improvement. getting credit to do digital in In only We're part. and part. if We're team credit we're if their service XX, the our their credit part all credit for animation. want stores the does Sometimes adding. getting

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First XX that staffing, store. on been in service. Tony's have getting just may like implemented I still yet. if every the around we're we're Tony, changes add, and XX And day We're there this days about team want early these on moving better just I of the amplify But to practicing things On also being in. are point not innings. selling number one a dimension, around

of amplify wins. the what point, to the it's There's Tony's still on expect store our still based So We're into by we're experimenting. us. early overall, more encouraged changes early But coming innings. customers

could I in squeeze helpful. more. just Okay. if That's And one super

the guess, the of in better is hit consumer what year current range? comp the of the versus your health fiscal said to for high of end consumer the get guide need to So differently, levels? that terms I would

the pressure consistent given on been think is of a From consumer perspective, the Yes. how our that our business. we terms about we've pretty in

digital given it assume the any of that is we in improvement executing growth assume our and customer, the the investments So improvement we're not year, What and our comp in growth stores, doesn't luxury the our placing nameplate. consumer. business does in we're it about our range as we're this of serving in how the think within acceleration how well

can our feel to balance the environment range continued under pressure the really will you on, we pressure perspective, really consumer, the going that of that on remain the control consumer. is the is we we But we're believe, reflective of from The for what year. focused and see what competitive the be but

from question next Lejuez Paul is Citi. The coming of

Paul. your of I for came expense was had for drivers of And in year. the SG&A. of this wondering a filling the then the Tracy I It's question kind quarter, below Kogan remainder what It expectations have and that in you initiatives what were. on

Tracy.

to So savings from your X are we that things control standpoint focused a there ongoing. really pleased expense on. And an how point, we we're standpoint, with are managing SG&A or cost

managing relates the on first on as expenses that well well about variable structural through as to cost really it the that end-to-end operations. initiatives making we're The progress is we last the as savings gaining spoke sure we as traction call quarter

good news to our is tech contracts. seeing consolidation gaining from benefits The We're routine service of operations, regards flow through vendors on end-to-end we're that the with traction. the

-- of balancing are see fulfillment making innings in our in transitioned the offshoring activities. But fortunately a that the part we've deliver better the We first still the on the and to finance end-to-end, of early value have nice team. it's but we're We're able been to through we quarter. we're progress large that

the expenses the work would managing we're question, on traction operations. doing and I But transformation end-to-end combination say, of to gained how longer-term we're variable Tracy, the your on day-to-day

Telsey The from Advisory is Group. Dana coming next question Telsey of

seeing? expand about format? it? you're it how Any what the the and first you by be health what unseasonal or will come having you of about levels? worse, tweaks getting weather, adjusted the through store staying think you same, income tweaked quarter What's better, both working, differ does consumer the getting can or are thinking is As with adjustments? lastly, small And of the and the And on

be being There department the of The can Thanks, would an move is that and exposure. assets economist. I can we've that under great health part move people. Dana. very are of our others. categories say, We pressure, homepage we a can are consumer, We choiceful. stronger store claim as than discerning, described, inventory. and certainly The to never marketing I move

And the the is to sure move and appropriately. key our ear understand making to just thing on keep we the that business us there happening resources grinds is for our where

are in I think general job. a doing the teams very good

reordering. are We

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purchasing in. With certainly purchasing, to we're is very the high the levels, seeing consumer the different being the category interested regard she's end, but in thoughtful at she's Bloomingdale's income in

up the that of So She's is of handbag said than softer and parts contemporary. to XXXX, beauty the now investing I now now we she's it shoe aspects was, strong advanced business. in business home. She's think in still investing in much luxury investing but

they higher just make you there's tier difference, is rent income look something comment, think, or small a to on The interest going family on that has to to Adrian, want format? are has based customer she at So think where you as customer on I buy. Do the tier creates at we doing, based have it tier. and and do the that passion choices motivation the at interest I The the lower obligations. to and

you, Thank Tony. Yes.

of by small the to rollout remain very continue stores. encouraged We format our

On but have more the new in go. just up store opened a we side, New Macy's to XX we Jersey, openings

small be They that seeing on we're the to continue to Bloomingdale's with the pleased continue formats side. expectations. our exceed We

to encouraged. to we're customer continue that lean in. how to have we're we this we learning apologies, year, continue going to seeing a But look, So the believe additional ton. one and We're responding, my Bloomingdale's Dana. -- expect is We're

is from The of Haskett. Grom coming question Chuck Gordon next

how Congrats more roll out those Curious in I'm efforts And the these help stores stores guys comp? XX. the you total company can curious you're to success quickly seeing lift to in First locations? the on greatest categories with what those

Chuck, Sure. don't if the we can, a question. when think of Thanks, it's can. it's for I question we

these that are decisions All of capital-light made. we've

You SG&A. really revolve around variable

enough see we're good the them to the we is we're soon in as results. And majority continued them news of seeing so stores. the going And roll as

stores. good really the sign. merchandise sign. multiple of a in That's not a really We're FOBs. it good That's it's a a sign. We're also seeing So seeing content. handful really it good in That's

time is both the the Net feedback. I voting, commentary, to again, wallet Score, taking As Promoter us and the her a her mentioned, with customer give lot of

if roll it's to is going a we're going we're to going way when it's be not question And not of So of -- a to out, I question that would when. our say, on to trip success.

As commitments and our an the organization, Street we our are commitments to delivering highly colleagues. on to committed our to

will we things second you about green and in in to I the and shoots position to quarter. more allow to hope that will in XXXX. talk It year, we're this So have some do us I stores later a first think

Okay. one for Great. you, And Adrian. then

early started? about May of throughout how talk second any and you quarter your reads on by has quarter can Just the the month? And comps the cadence

Look, we Good quarter, good the navigated the Yes. how we not certainly could. that's on commented -- monthly We we our quarter felt cadence. quarter best about we the as performance. We're question. navigating and navigated the reflected have in as

about that we're think going to either. results, quarter-to-date comment we on I'm As -- just not simply

the lot We've us, got We fourth we've got ahead graduations, quarter Fathers' have of of we've Day, a Chuck. July. of got

it I of the be just couple premature think a of think would the to quarter. based quarter the into about on So weeks balance

Stanley. The next Straton coming from of Alex is question Morgan

Alex as question Delahunt efforts well an Katy regulations. your on My as remind success you maybe CFPB on is update with so mitigation your latest far card you've of And This Can there? on those? any us was then for the had what credit is give Straton. if us view

good. Sounds Thank Katy. you,

remains it that is perspective uncertain. Our

we is it the size the becomes timing so of to fees the plan late is is what impact The And uncertain. certain. to uncertain, once impact do the disclose of

that information So we'll able once out, ruling the at final share be time. to more comes

partner, to of exploring We've our not that shared a with but know lot a Citi. definitely strategies. them with mitigation strategies, specifics of we're regards We're variety exploring

But be time. able of we're Some waiting what's and proceed that our ruling to in at really -- final those seeing what from perspective, be and to are will going strategies the development.

Chen from Cowen. question Oliver is of coming next TD The

would I and know Adrian. discounting on and that Tony love pricing your been you're you've good seeing. thoughts on making ahead strides promotions analytics. really I targeted pressure

Also, in relation private positive the thoughts on great comping to to as introducing? timing we What that in label are and that your you're apparel, happen newness changes about portfolio. apparel think the for there's

digital What think we as model should continue strides to how about well as there. as well? finally, as that advertising, you've And we about material progress and marketplace made modeling know you nice make as it be there will

Thanks, Oliver.

there. got number You of a questions in

about necessary Let and obviously events we're looking rate incent move at I year basis work, a it's time. me inventory. to to discount or a take personalization customer on apply team's last comp On trying through one daily good either our to them versus feel to engine, value promotion, and the buy our where at the in the again, aged

Adrian into it's inventory game. quarter from we about, position a in as standpoint, come an again, a And second talked healthier long the but age

we're sure And right to to in so it we overinvest not decisions playing attract a are basis making on but make the daily on promotion that value.

of the of which we look this stages ready-to-wear opportunity business another in becoming at ready-wear I'd I And has one gives early learn when it Bloomingdale's, optimism terrific. without other at are In that growth, Macy's. terms right that is at application now each tell from me you, the great

up brand through get to the have of the disposition that we're remainder We against. private

the it to business. and more We materiality will opportunity good is to relates of at I brands of have roll be think newer at it the helpful overall really Macy's. out Bloomingdale's the our impact to as But gain the see, to level to

that of Marketplace, registry, from reaction excited good getting the had which wedding XXX great terms with a XXXX. baby we about launch, launching I'm top the baby over of in brands and great was with the puts in start year along on registry a us quarter, and registry In and the consumer.

is that just than to MMN engage the media doing we We're an had more we're in to the -- our other MMN, goes way immediate mentioned, beauty Adrian seeing or last as vendor engagement include category XX% what think where beyond we're facets up network, impact. And consumer. we good important I of year. search which diversifying the And in and

Bloomingdale's So growing; at and Marketplace, result targeted; at and see ready-to-wear to and growth determined promotion, thoughtful MMN, as healthy; and discerning the Macy's progress. happening we that

Goldman Sachs. from Roach is of coming The Brooke question next

a luxury and I little was talk about out some network you as the hoping Macy's the that trends of initiatives more rolled aggregate well. be in could in you're especially could seeing bit luxury to in Bluemercury those that

different consumer the this I think that, team one us Appreciate this value again, have ever the peaks benefit before. in offers get they're look the the again, where across income and question. an Bluemercury Macy's team spectrums. and Inc, I the try interest than Bloomingdale's are team Macy's levels that to understand as portfolio, Brooke. at the and Thanks, in Yes, we different but valleys becoming talking we for call And happen and sharing we it's I and more other, business. And and believe the advantage no do business

luxury quiet obviously, trends of right been discussed a terms In that about luxury. now, lot are happening has

certainly less business playing at in out the Macy's more seeing accessible level. And you're logo. So a that's

right logo So with we now. brands products opportunities less into and and are leaning categories on

You know our business is very cyclical.

So see Valentino. a interested logos back the will meaningful Alessandro luxury. some certainly, will way. or minute quiet in out, We're year to won't months And in, be be I X what that and say logos at all be it will are do

retain their difference when themselves, XX be to types. of to skin look you're the help think versus versus resistance XX no consumer category, just terms of and the help youth, I help they've is of care to care high-end will In not them the skin for It's XX. what price in recognize what the them them that people's and Bluemercury the best, regimens able help the has appetite their beauty discovered same consumer take

fragrances of the from outstanding at of done and Macy's And at and I short think is at looking has other thing benefited time. growing the business and Bloomingdale's period penetration the a job an categories Bluemercury in other fragrance

growth on at we said as on -- we're opportunities the So call, really Bluemercury. the bullish

stores XX over the we'll years. that have We of open next couple

begins and the We in quarter. remodels, that XX all second have

Blue react opportunities for stepping learning to is and really respond where Mercury, interested trying and and and to at Bloomingdale's, she's growth back. Bluemercury, Macy's where between the consumer So

Partners. Bob The next Guggenheim question from Drbul is of coming

approaching -- this I this on, I'm if monetization over your asset this on visibility few you're your plans a it more just the year. quarter plans years, especially year seeing, how just was you sort little and focus for sorry, what next of just and you're wondering the could

we're And is the focus asset that The activity lot making been that Absolutely. we're finding our offering, is that right sure the deals, right a certainly traction. on getting much We're seeing. we've price. on Bob, of seeing punchline quality encouraged and the by very buyers monetization, deal-making

very a healthy have balance we sheet. know, you As

with unlock XXX by We also of of traction seen but estate apparatus that late approximately we're closure the to for we're an announced partners stores working we encouraged value since have February. that shareholders, developers we've back in and the very real strong our

return proceeds critical to capital The we that is XX in that quite are generate allows large the will us to is closing stores sales well we from the us, the be reinvest to still strategic you to stores see of which right, and shareholders. business, First and importance performance the able as a portion of the as monetizing

about recognize the an that we of seeing about and stores we're will closures very how certainly interest the pace impact But that dealmaking our on But business I've environment. got encouraged next tell I rate of and very elevated monetization think have it we X tell these would that the in you, you, over by we're to years. we're encouraged the

end the like to us of the over Mr. closing the turn Spring comments. back session. brings This would to to for floor question-and-answer I you. Thank

We time a spectacular the everyone some July Should our of a has Have vacation of good day, hope rest everybody. see at and of fireworks. Day family, summer. good hope some Memorial Spend be in you we operator. a Fourth get with year. there. you great you, and And of to this amazing Thank friends many or your hopefully,

participation. your gentlemen, for thank event. and concludes This you Ladies today's

time, this lines at day. may your disconnect your and rest enjoy the of You