Economy no issue for Nordstrom
SEATTLE — In another sign that the U.S. economy is affecting lower-income families more than those in higher earning brackets, luxury retailer Nordstrom reported a same-store sales increase of 7.3% for its second quarter and net sales of $2.72 billion, an increase of 12.4% compared with net sales of $2.42 billion for the same period last year.
The company reported that net earnings of $175 million, or 80 cents per diluted share, for the second quarter ended July 30, 2011. This represented an increase of 20% compared with net earnings of $146 million, or 66 cents per diluted share, for the same quarter last year.
Nordstrom said its second quarter included three annual promotional events that helped drive up same-store sales. According to the company, its top-performing merchandise categories included shoes, cosmetics and designer. The South and Midwest regions were the top-performing geographic areas for full-line stores relative to the second quarter of 2010. The direct channel continued to show strong sales growth, outpacing the overall Nordstrom increase.
For fiscal 2011, Nordstrom said it expects same-store sales to post a 4% to 6% increase and earnings per diluted share between $2.95 to $3.10.