The retailer on Thursday said it expects to report an operating loss of between $905 million and $1.1 billion for the first quarter compared to $203 million in operating income during the same period a year ago.
Net sales are expected to be between $3 billion and $3.03 billion compared to $5.5 billion in the first three months of 2019.
On the brighter side, however, the company has been reopening stores across the country, with 190 Macy’s and Bloomingdale’s stores now fully operational and another 80 Macy’s stores expected to open for Memorial Day weekend.
What's more, customer demand over the past two weeks has been “moderately higher than we anticipated,” according to Macy's CEO Jeff Gennette.
Retailers have been among the hardest hit through the pandemic, not only because they were forced to close their physical doors but also because of the massive economic toll that has already shifted consumers' shopping patterns away from non-essential goods and services like clothing, housewares and electronics.
With Memorial Day fast approaching, and sales along with it, retailers like Macy's are hoping consumers will pull back out their wallets, helping recover lost sales and steep first-quarter losses.
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