© Reuters Nordstrom Shares Up 9% on Q1 Beat and Raise
By Davit Kirakosyan
Nordstrom (NYSE:) shares rose around 9% after-hours following the company’s reported , with revenue coming in at $3.57 billion (up 18.7% year-over-year), compared to the consensus estimate of $3.27 billion. EPS came in at ($0.06), compared to the consensus estimate of ($0.05).
Gross merchandise value (GMV) grew 19.6% year-over-year in Q1. Nordstrom banner revenue increased 23.5% year-over-year, and Nordstrom Rack banner revenue increased 10.3% year-over-year.
“Our focus on serving the customer through our interconnected model with Nordstrom and Nordstrom Rack, a scaled digital platform and a strong store fleet positioned us to capitalize on demand from customers who shopped for long-awaited occasions and refreshed their closets,” said Erik Nordstrom, chief executive officer of Nordstrom, Inc. “In the first quarter, we drove strong topline growth with broad-based improvement across core categories and geographies. Importantly, we made progress on our strategic initiatives and continue to focus on increasing profitability on the path to achieving our financial targets.”
The company provided its full 2022-year outlook, expecting EPS in the range of $3.20-$3.50, compared to the consensus estimate of $3.12. Revenue growth, including retail sales and credit card revenues, is expected to be 6-8%.
The Board of directors also authorized a new $500 million share repurchase program.
Shares of Nordstrom were down 9% year-to-date into the earnings.