Macy's Q2 10-Q: $116M Tariff Refunds, $586M Operating Cash Flow, and $1B Buyback Remaining
M sits 25% above its 52-week low of $16.41 on elevated volume (2.7× avg).
Summary
Macy's Q2 10-Q confirms strong earnings with net income nearly doubling to $169M, $116M in tariff refunds, and $586M in operating cash flow. The company has $1.024B remaining on its buyback and $1.958B in available credit.
Key Events · Earnings and Guidance · M
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Q2 Net Income Nearly Doubles
Net income rose to $169 million ($0.62 diluted EPS) from $87 million ($0.31) a year ago, with operating income up 64% to $244 million.
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$116M Tariff Refund Windfall
Macy's received $98 million in IEEPA tariff refunds in Q2 and $18 million after quarter end, contributing $95 million to gross margin and $3 million to interest income in Q2.
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Comparable Sales Up 2.7%
All nameplates grew: Macy's +1.1%, Bloomingdale's +11.3%, Bluemercury +6.2%. Gross margin expanded 180 basis points to 41.5%.
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Strong Cash Generation
Operating cash flow reached $586 million for H1 2026, including $328 million from credit card interchange litigation settlements. Cash stands at $1.294 billion.
Analysis · M · Trade & Services
Macy's second-quarter 10-Q confirms the strong results announced earlier today, with net income nearly doubling to $169 million from $87 million a year ago. The filing adds material detail: $116 million in total IEEPA tariff refunds (including $95 million gross margin benefit in Q2), operating cash flow of $586 million for the first half, and a cash position of $1.294 billion — up $465 million year-over-year. The company repurchased 4.9 million shares at an average of $20.48 per share and still has $1.024 billion remaining under its buyback authorization. Comparable sales rose 2.7% across all nameplates, with Bloomingdale's up 11.3% and Bluemercury up 6.2%. The balance sheet remains solid with no borrowings under the $2.1 billion ABL facility and $1.958 billion in available liquidity.
How filings like this one have moved
In the 30 days to Sep 10, 2026, 30% of the 1963 measured filings Wiseek scored 7 moved their stock by 5% or more by the next session's close. The median move was -0.14%. These are measured outcomes after filings of this importance, not a forecast for this one.
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At the time of this filing, M was trading at $20.51 on NYSE in the Trade & Services sector, with a market capitalization of approximately $5.4B. The 52-week trading range was $16.41 to $26.59. This filing was assessed with positive market sentiment and an importance score of 7 out of 10.