The news: Saks Global is on track to exit bankruptcy this June, although it will take the retailer three years to return to profitability, it said in an updated court filing,

Zoom in: Saks Global is confident that a smaller footprint and tighter focus on affluent consumers will power its recovery. The company has also, for now, managed to put its vendor troubles behind it: More than 700 brands shipped inventory in fiscal Q1 2026 (ended May 2), CEO Geoffroy van Raemdonck told The Wall Street Journal.

With shelves restocked and brand relationships restored, the retailer expects sales to rebound.

• Gross merchandise value is forecast to reach nearly $9 billion in 2030, almost double the $4.86 billion in GMV expected this fiscal year.
• Revenues are projected to grow at a roughly 7% compound annual rate between fiscal 2027 and 2030.
• Comparable sales are expected to rebound over the same period, following an anticipated 4% YoY contraction in fiscal 2026.

Implications for Saks: While management is optimistic, it remains to be seen whether Saks’ bullish forecast will materialize. Targeting wealthy shoppers makes sense on paper given their outsize spending power, but Saks’ ability to attract those consumers is being challenged by both stiffer competition (from the likes of Bloomingdale’s and Nordstrom) and the diminishing appeal of the department store experience.

Closing stores and laying off 16% of its corporate workforce can help Saks Global ease its debt burden, but a full recovery will require a more comprehensive strategic overhaul. At a time when even affluent shoppers are growing more value-conscious, Saks will have to prove that it can deliver the high-touch, differentiated experience those customers expect.

This content is part of EMARKETER’s subscription Briefings, where we pair daily updates with data and analysis from forecasts and research reports. Our Briefings prepare you to start your day informed, to provide critical insights in an important meeting, and to understand the context of what’s happening in your industry. Non-clients can click here to get a demo of our full platform and coverage.