Macy’s announced on April 15 that it will close 14 of its retail locations, including two stores in California, as part of its Bold New Chapter transformation. The closures are part of a plan to shut 150 under‑performing stores by the end of 2026, a strategy that has already seen 66 stores closed in 2025.
The announcement identifies the California closures as a Macy’s at Grossmont Center in La Mesa and a store at West Valley Mall in Tracy. A third location, the Pittsburgh Mills Mall store in Tarentum, Pennsylvania, will shut on April 26. The remaining 11 closures are scheduled for the first half of 2026, with the final 150‑store target to be reached by year‑end.
Macy’s leadership said the closures are part of its Bold New Chapter strategy, which seeks to focus resources on high‑performing stores, its luxury Bloomingdale’s and Bluemercury brands, and digital channels. By trimming the footprint, the company aims to improve operating leverage, free up cash flow, and strengthen its balance sheet while investing in store experience and omnichannel capabilities.
In its most recent quarterly report, Macy’s reported net sales of $7.6 billion and comparable sales growth of 1.8% for Q4 2025, compared with net sales of $4.6 billion and a 2.0% decline in comparable sales on an owned basis in Q1 2025. Bloomingdale’s comparable sales rose 9.9% and Bluemercury grew 1.3% in the same period. Adjusted EBITDA margin was 10.6% of revenue in Q4 2025, down from 11.3% the previous year. The company guided for adjusted EPS of $1.90 to $2.10 for fiscal 2026, below the consensus estimate of $2.16, reflecting concerns about macro headwinds and tariff impacts.
The store closures are a concrete step in Macy’s effort to trim its footprint and reallocate capital toward more profitable formats. While the company’s earnings beat in Q4 2025 was driven by strong performance in its luxury and beauty segments, the cautious guidance signals that the broader retail environment remains challenging. The closures, coupled with a focus on high‑margin brands and digital growth, position Macy’s to navigate the shift in consumer behavior and maintain long‑term profitability.
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