What: Q4 sales were down 3.3% while fiscal year 2022 sales were up 0.3%, with inventory levels down 3% in comparison to 2021 and down 18% versus 2019.

Why it is important: The department store was able to remain agile, meet customer demands, and elevate its approach to inventory management despite the volatile macroeconomic climate.

Macy’s has reported a strong balance sheet, with ample liquidity and no-near term material debt maturities which will provide the retailer flexibility to navigate the current macroeconomic uncertainty.

Macy’s department store sales were down 3.3% from 2021, with its top performing categories being beauty, men’s tailored apparel, dresses and shoes, while categories such as active, casual, and soft home saw a decline.

Bloomingdale’s sales were up 0.6 percent with beauty, men’s and women's contemporary and dressy apparel performing well, and handbags and textiles seeing a decrease in performance.

Bluemercury, Macy’s luxury beauty and spa retail chain, saw sales up 7.2% with results being driven by strength in skincare and color, partnerships, and its new initiative which curates the lasts emerging brands.

Looking at 2023 and beyond, the retailer believes that its five growth vectors which include reimagining private brands, off-mall expansion, online marketplace, luxury brand acceleration, and personalized offers and communication will solidify its modern department store positioning.

Macy’s Inc. reports fourth quarter and full-year 2022 results