Weak spring sales affect Nordstrom’s Q1
SEATTLE — Nordstrom reported its first quarter net income fell a greater-than-expected 3%, hurt by weak demand for spring merchandise and softer performance in the Northeast and Midwest. The company also lowered its full-year sales forecast.
The results were a rare miss for the upscale department store chain whose shoppers have proved resilient throughout the uncertain economy.
Nordstrom’s net income in the quarter ended May 4 fell to $145 million, down from $149 million a year ago. Revenue increased 5% to $2.75 billion, missing Wall Street expectations. Same-store sales were up 2.7%.
Nordstrom’s top performing categories included makeup, women's apparel and handbags.
At the company’s outlet store division, Nordstrom Rack, net sales increased 10% to $58 million, reflecting 16 store openings since the first quarter of fiscal 2012. Same-store sales increased 0.8%.