Nordstrom reported better-than-expected holiday sales Tuesday and said fourth quarter profitability came in better than expected.
“Customers responded positively to the strength of our offering in the fourth quarter,” Nordstrom CEO Erik Nordstrom said in a statement. “We maintained the momentum we built throughout the year, which resulted in full-year sales and profitability coming in at the high end of our expectations.”
Fourth Quarter Comparable Sales
For the fourth quarter, total comparable sales (stores plus online) increased 4.7%.
- Full-price Nordstrom banner rose 5.3%
- Off-price Nordstrom Rack rose 3.5%
Top performing categories in the quarter included women’s apparel, active, and men’s apparel.
Full-Year Comparable Sales
For the full year, comparable sales increased 3.6% companywide.
- Full-price Nordstrom banner rose 3%
- Off-price Nordstrom Rack increased 4.7%.
Top performing categories for the year included women’s apparel, active, men’s apparel, kids’, and shoes.
Q4 Financial Results
Total sales: decreased 2.2% to $4.3 billion. Excluding the 53rd week of sales in the same period of 2023, Q4 sales rose 2.5%.
Digital sales fell 1.8%. Excluding the 53rd week of sales in the same period of 2023, digital sales increased 2.6%.
Digital sales represented 38% of total sales during the quarter.
Net earnings: jumped 23% to $165 million.
2024 Results
Total sales: rose 2.2%to $15 billion. Excluding the 53rd week of sales in the same period of 2023, 2024 sales rose 3.6%.
For the full year, digital sales accounted for 36% of total sales.
Net earnings: rose 119% to $294 million.
Going Private
In December, Nordstrom announced it had reached an agreement with members of the Nordstrom family and El Puerto de Liverpool, a Mexican company that operates in the commercial, financial, and real estate sectors, to take the company private. The transaction is expected to close in the first half of 2025.
Because of the transaction, Nordstrom did not hold an earnings conference call to discuss Q4 results.
Nordstrom operates 350 Nordstrom, Nordstrom Rack, and Nordstrom Local locations.
