Image source: Nordstrom
(Reuters) – Nordstrom Inc reported a bigger-than-expected loss and a 53% fall in sales on Tuesday, as its stores were shut for about half of the reported quarter due to the COVID-19 pandemic, sending the department store chain’s shares down about 7%.
Like many of its peers, Nordstrom was severely hit from a months-long closure of its stores across the United States and as shoppers steered away from the company’s upscale apparel, including work clothing and designer dresses.
J.C. Penney, Neiman Marcus, Brooks Brothers and other retailers have filed for bankruptcy in the last several months.
Nordstrom was also hit as it moved its popular Anniversary Sale from the second to the third quarter, which also impacted its online sales that fell 5%.
The Seattle-based company posted net sales of $1.78 billion for the second quarter ended Aug. 1, compared with $3.78 billion, a year earlier.
Nordstrom reported a net loss of $255 million, or $1.62 per share, compared to a profit of $141 million, or 90 cents per share, a year earlier.
Analysts were expecting a loss of $1.48 per share, according to IBES data from Refinitiv.
Reporting by Nivedita Balu in Bengaluru and Melissa Fares in New York; Editing by Vinay Dwivedi.
_____
Source: Reuters
