Mixed bag for Nordstrom in Q3

The retailer reported a higher-than-expected net income in Q3

In Q3 2020, Nordstrom – one of the largest American retailers, reported a net income of $53 million, on an EPS of 34 cents. The markets were expecting a loss per share of 6 cents. Still, this quarter’s figures are lower than those reported the same time last year: a net income of $126 million and an EPS of 81 cents. This year’s somehow promising numbers were due to the retailer’s anniversary sale, which “serves as a strong proof point in our ability to amplify relevant categories, brands, and trends to meet shifting customer preferences.”

Nordstrom’s overall revenue dropped to $3.09 billion from Q3 2019 and was shy of the $3.10 billion expected.

For Q4, Nordstrom expects its sales to decline as much as 20% but is optimistic about the operating cash flow. Still, this is just wishful thinking given the uncertainties brought by the pandemic.

During today’s pre-market trading, Nordstrom stock price went up 5.5%.

Sources: cnbc.com