Macy’s Reports Resilient Spending Among Affluent Shoppers, Though Sustainability Uncertain
Macy's Inc. (M) posted a 3% year-over-year rise in comparable store sales—its strongest performance in three years—fueled by robust spending from middle- and upper-income households. CEO Tony Spring noted the company's customer base remained "resilient and engaged," particularly at its luxury Bloomingdale's division, though he hesitated to project whether the momentum WOULD endure through the holiday season.
The retailer raised its full-year outlook after exceeding Q3 expectations, signaling confidence in discretionary spending among wealthier demographics. However, Spring acknowledged uncertainty around "aspirational" shoppers, who may pull back if economic conditions weaken.
Higher-earning consumers continue to drive economic activity, a trend observed across retail earnings this quarter. While executives stop short of declaring sustained strength, few report material cracks in affluent demand.
