Macy's (NYSE:M) has been beset with a series of quarterly losses but its chairman and CEO Terry Lundgren promises a comeback.
Lundgren acknowledged the problems to shareholders during the company's annual meeting, but noted the company had been through worse and come out ahead twice in recent history: following the recessions in 2001 and 2008, reported the Cincinnati Business Courier.
Sales for Macy's first quarter declined 7.4 percent compared to last year and same-store sales dropped 6.1 percent, marking the fifth straight quarter of declines.
"In 2015 ... we experienced a conversion of negative factors that impacted our sales, margins and profitability – some external to our company, some of our own making," Lundgren said. "We view the setbacks of 2015 and early 2016 as a setup for a comeback that we expect to begin in the second half for 2016 and move forward from that point."
Lundgren outlined plans to return the company to profitability, including the new Backstage format and services such as 10-minute beauty appointments at in-store Bluemercury shops.
Macy's is struggling to sell apparel to millennials, who are more interested in low prices than value.
Could Macy's partner with a fast-fashion retailer such as Zara? That question from a shareholder drew no comment from Lundgren.
- see this Cincinnati Business Courier story
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