A BOOST IN DIGITAL SALES HELP NORDSTROM SEE INCREASE IN SECOND QUARTER
Seattle-based retailer Nordstrom reported total company net sales increased 7.1 percent for the second quarter to $162 million compared with $110 million during the same period last year. The increase was driven primarily by higher sales volume, a lower effective tax rate and the impact of the new revenue recognition standard as it relates to the timing of the Anniversary Sale.
In full-price, comparable sales increased 4.1 percent. The top-ranking merchandise categories were kids’ apparel and beauty. In off-price, comparable sales increased 4.0 percent.
In executing its digital strategy, the company increased digital sales by 23 percent in the second quarter, compared with 20 percent for the same period last year. Digital sales represented over a third (34 percent) of second quarter sales, up from 29 percent a year ago. During the first day of its Anniversary Sale, Nordstrom achieved record digital demand, surpassing its previous peak by 80 percent.
Looking to the full year, Nordstrom now expects to earn between $3.50 and $3.65 per share, up from a prior targeted range of between $3.35 and $3.55 a share. The company said same-store sales could rise as much as 2 percent in fiscal 2018, compared with a prior targeted range of between 0.5 and 1.5 percent growth. Revenue is forecast to be as much as $15.5 billion, compared with a previous target of as much as $15.4 billion.
