The pandemic wiped off 40% of Nordstrom’s sales.
Yesterday, one of the biggest retail department stores in America posted its first-quarter financial report, reporting a fall in sales of 40%.
Its revenue fell to $2.12 billion from $3.44 billion from the same time last year. The sales from the physical stores fell by 36%. The digital sales increased by 5%, reaching $1.1 billion. The loss per share was $3.33. The company ended the quarter with $1.4 billion in cash.
The first quarter net sales were down 34% compared to the same time last year.
The department store stated earlier this month that 16 of its stores would be closed permanently. Overall, the chain will have 116 full operational stores.
According to it, 40% of its stores resumed their activity after they got closed in March. By the end of June, all stores are expected to be open again.
Store-wise, Nordstrom is one of the luckiest to close only 16 stores, whereas Macy’s will shut down more than 125 in the next three years. Until now Macy’s has 50 fully operational stores.
Nordstrom stock went up 1% after-hours after it dropped almost 8%. Since the start of the year until now, its stock fell more than 56%.
Market competitor, Macy’s, reported this week the most significant gain on record; the stock price went up 19.6% during regular trading hours. This year the stock dropped by 56%, while USA500 lost 7.4%.
Sources: cnbc.com, prnewswire.com
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