Nordstrom posted gains in revenues, comparable sales and adjusted net earnings during a second quarter when the company and the home category got a boost from the company’s annual Anniversary Sale.
Net earnings were $122 million, or 72 cents per diluted share, versus $137 million, or 84 cents per diluted share, in the year-previous quarter. Adjusted for one-time events, earnings per diluted share came in at 96 cents versus 84 cents in the year-before quarter, the company reported.
Nordstrom beat a Zacks Investment Research analyst consensus estimate of 74 cents in earnings per diluted share and $3.85 billion in revenue.
Comparable sales gained 1.9% in the quarter year over year, Nordstrom stated. Net sales were $3.79 million and total revenue was $3.89 billion versus $3.66 billion and $3.77 billion, respectively, in the year-earlier quarter.
Nordstrom banner net sales and comparable sales both increased 0.9% year over year in the quarter. Nordstrom Rack banner net sales increased 8.8% as comps increased 4.1% year over year in the period.
The annual Nordstrom Anniversary Sale began in the second quarter, with one day falling in the third. In 2023, all eight days of the sale occurred in the third quarter. The anniversary sale had a positive impact on second-quarter net sales of approximately 100 basis points. The Anniversary Sale timing shift had a 200-basis-point positive impact on Nordstrom banner net sales.
Nordstrom reported that active, women’s apparel, beauty and kids led second-quarter sales growth among merchandise categories. For the Anniversary Sale, the top growth categories were home, beauty and active.
“Our second-quarter results were solid, and we’re encouraged by the continued top-line strength in both banners and the progress we’re making to expand gross margin and increase profitability,” said Erik Nordstrom, the company’s CEO. “We’re confident in our outlook for the remainder of the year and look forward to sustaining the momentum we’ve built as we execute on our 2024 priorities.”
