Nordstrom comps increase 1.3% over holidays
today Jan 16, 2019
Seattle-based department store chain Nordstrom reported a slight increase in comparable sales over the 2018 holiday period, with progress driven by growth in its off-price division and digital channels.
For the nine weeks ended January 5, 2019, Nordstrom’s comps increased 1.3% compared to the prior-year period. The retailer’s off-price division led the way with a comps rise of 3.9%, progress which was in line with the company’s expectations.
Particularly strong growth was also seen in Nordstrom’s digital channel, where net sales increased 18%, accounting for 36% of total company sales.
The retailer’s full-price division, however, only saw an increase of 0.3% in comparable sales, reflecting reduced in-store traffic.
Year to date, Nordstrom reported a comparable sales rise of 2.1%. While this matched up with the company’s full-year outlook of around 2% for fiscal 2018, the full-price division once again lagged behind, posting lower-than-expected comps.
As a result of its sales over the holiday period, the retailer now expects full-year earnings per share to be at the lower end of its previously stated guidance of $3.27 to $3.37.
Nordstrom also reiterated its commitment to achieving its long-term goals of “continuing market share gains, improving profitability and returns and maintaining disciplined capital allocation.”
Following the announcement of its holiday sales results, shares in the company fell 2.7% during the extended session on Tuesday, according to figures reported by MarketWatch.
Nordstrom stated that it plans to report its Q4 and full-year 2018 financial results after the close of the markets on February 28, 2019.
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