Nordstrom is getting annihilated after abysmal earnings
REUTERS/Rick WilkingA Nordstrom in Broomfield, Colorado, on June 7, 2007.
High-end retailer Nordstrom is getting rocked on Thursday afternoon after abysmal earnings.
The company posted earnings of $0.26 per share against analyst expectations of $0.46 a share. Sales were also terrible with a drop of -1.7% in comparable-store sales — analysts expected flat sales. Revenue was slightly lighter than expected at $3.25 billion for the quarter.
The company also slashed its forecasts for sales and earnings. It said that net sales would grow by 2.5% to 4.5% for 2016, versus its previous estimate of 3.5% to 5.5%.
Nordstrom also expects 2016 full-year earnings to be $2.50 to $2.70 a share against analyst projections of $3.20 a share.
"Our first quarter results were impacted by lower than expected sales. In response we have made further adjustments to our inventory and expense plans," said Blake Nordstrom, copresident of Nordstrom, in a press release accompanying earnings.
The earnings come as another in a string of terrible results for the retail industry after Macy'sand Kohl's posted worse than expected profits earlier in the week.
The stock is down more than 14% in after-hours trading as of 4:27 p.m. EST.
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