Shares reached a multi-month high after the report
One of the largest American luxury department store chains – Nordstrom posted Q3 2020 earnings that surprised the market.
In the past quarter, Nordstrom had a $53 million net income, with an EPS of 34 cents. EPS-wise, the market was looking for a -$0.06 EPS result.
The company’s revenue figures came in at $3.09 billion, ahead of the $3.67 billion reported in Q3 2019. However, it was shy of the $3.10 billion forecasted. The company's digital sales of $1.6 billion represent 54% of the overall revenues.
Nordstrom's profits were also amplified by its anniversary sale, which "serves as a strong proof point in our ability to amplify relevant categories, brands, and trends to meet shifting customer preferences," according to CFO Anne Bramman.
For the future, the sales are expected to drop as much as 20%, but Nordstrom's representatives consider this a point of reference considering the uncertainties caused by the pandemic.
Following the announcement, Nordstrom's stock price jumped more than 13%, reaching a level unseen since March 10. In the past six months, the company's share price added 66%, the abovementioned surge included.
Read here about how other retailers have performed in the past quarter!
Sources: thestreet.com, cnbc.com