WASHINGTON (dpa-AFX) - Fashion specialty retailer Nordstrom Inc. (JWN) said Thursday after the markets closed that its first quarter profit fell 8.6% from last year, as higher costs and expenses more than offset a 9.9% increase in revenue.
The company's quarterly earnings per share also came in below analysts' expectations, but its quarterly revenue managed to beat analysts' forecast. At the same time, the company reiterated its fiscal year 2015 outlook.
Nordstrom shares are currently gaining 0.77% in after hours trading after closing the day's regular trading session at $74.15, down $2.02 or 2.65%. The shares trade in a 52-week range of $60.51 to $83.16.
Nordstrom operates 303 stores, including 116 full-line stores in the United States and 2 in Canada; 177 Nordstrom Racks; two Jeffrey boutiques; and one clearance store.
For the first quarter ended May 2, 2015, the Seattle, Washington-based company reported net income of $128 million or $0.66 per share, compared to $140 million or $0.72 per share for the year-ago quarter.
On average, 28 analysts polled by Thomson Reuters expected the company to earn $0.71 per share for the first quarter.
The company said the impact of the Trunk Club acquisition and ongoing entry into Canada reduced earnings before interest and taxes by $19 million. The company completed its $357 million acquisition of Trunk Club in August 2014.
Total revenue for the first quarter rose 9.9% to $3.22 billion from $2.93 billion in the same quarter last year. Twenty-four analysts had a consensus revenue estimate of $3.16 billion for the first quarter.
Net sales for the first quarter increased 9.8% to $3.12 billion from $2.84 billion a year earlier, while same-store sales for the quarter grew 4.4%.
Nordstrom same-store sales, which consist of the full-line and Nordstrom.com businesses, increased 4.2%. Top-performing merchandise categories included Women's and Men's Apparel.
Looking forward, the company said it continues to forecast net sales growth of 7% to 9% and earnings of $3.65 to $3.80 per share for the fiscal year 2015. Analysts currently expect the company to earn $3.79 per share on revenue growth of 7.70% for the fiscal year 2015.
The company said it expects earnings per share growth in the second quarter to be below the full year outlook range of a 2% decrease to a 2% increase, mainly due to the ongoing entry into Canada and the acquisition of Trunk Club.
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