Nordstrom posts profit increase
NEW YORK – Nordstrom Inc. reported a 15 percent increase in third-quarter net income, fueled by strong demand of men’s shoes, men’s clothing and children’s fashions.
But the upscale retailer’s profit results missed Wall Street estimates, as the company invested more money in enhancing its rewards program for shoppers. Investors pushed down shares by 3 percent in after-hours trading, extending the decline in regular trading. The company released its results after regular trading closed Thursday.
Still, Nordstrom’s solid quarter is encouraging news as the retailer heads into the holiday season.
Nordstrom earned $146 million, or 71 cents per share, for the three-month period ended Oct. 27. That compares with $127 million, or 59 cents per share, in the year-ago period.
Total sales rose 14 percent to $2.81 billion. Revenue at stores open at least a year was up 10.7 percent. Its online business increased 38 percent for the quarter compared with a year ago.
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