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Nordstrom tops quarterly revenue estimates as newer products boost demand
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Nordstrom tops quarterly revenue estimates as newer products boost demand
May 30, 2024 2:03 PM

May 30 (Reuters) - Nordstrom ( JWN ) beat Wall Street

expectations for first-quarter revenue on Thursday, as the

department store chain's efforts to stock up shelves with

fresher clothing and footwear offerings helped drive demand.

The retailer in order to address its merchandising issues

has made attempts to bring in more in-demand clothing at its

namesake brand by offering tailored classics along with

minimalist pieces like oversized blazers, tailored pants,

cropped jackets and dresses.

Sales at the company's eponymous label recorded a 0.6% rise.

Discount banner Rack's sales rose 13.8% as Nordstrom ( JWN ) pushes

ahead with plans of opening more of its stores in a bid to

attract lower-income consumers.

During the quarter, Nordstrom ( JWN ) also put up numerous

shop-in-shop and online offerings of Liberty London and SKIMS by

partnering with them to feature their products.

Nordstrom ( JWN ) has also been opening shelf spaces for brands like

Birkenstock and Prada Beauty to drive customer traffic by

enhancing the products its stores offer as these continue to be

consumer favorites.

The company's better-than-feared sales result is in contrast

with peers Macy's and Kohl's, which are finding it

difficult to attract customers and are fixing merchandising

issues at their stores as well.

However, Nordstrom ( JWN ) reaffirmed its 2024 comparable sales

forecast of a 1% drop to a 2% rise and annual profit per share

of $1.65 to $2.05.

The department store operator's first-quarter total revenue

rose 4.8% to $3.34 billion, compared to LSEG expectations of a

0.6% rise to $3.20 billion.

The company's quarterly net loss narrowed to $39 million, or

24 cents per share, from $205 million, or $1.27 per share, a

year ago.

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