Nordstrom Reports 53% Dip In Sales, A Net Loss Of $255 Million

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Above image: Nordstrom in New York City

SEATTLE, WASHINGTON — Last spring, D.M. Fashion Book reported that luxury department store chain Nordstrom Inc. will permanently close 16 locations, as part of the retailer’s downsizing (see it here).

On March 17Nordstrom stores temporarily closed for a few months due to the coronavirus outbreak.

It is now confirmed that Nordstrom Inc. reported a bigger-than-expected loss and a 53 percent fall in sales on Tuesday, as its stores were shut for about half of the reported quarter due to the Covid-19 pandemic, sending the department store chain’s shares down about 7 percent.

Like many of retailers including Neiman Marcus, Saks, and Macy’s, Nordstrom was severely hit from a months-long closure of its stores across the United States and as shoppers steered away from the company’s upscale apparel.

Nordstrom was also hit as it moved its popular Anniversary Sale from the second to the third quarter, which also impacted its online sales that fell 5 percent.

The Seattle-based high-end retailer posted net sales of $1.78 billion for the second quarter ended Aug. 1, compared with $3.78 billion, a year earlier.

Nordstrom reported a net loss of $255 million, or $1.62 per share, compared to a profit of $141 million, or 90 cents per share, a year earlier.

Photos Credit: Courtesy

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Donovan

Donovan is the CEO and Editor-In-Chief of www.dmfashionbook.com. For all general inquiries please email don@dmfashionbook.com Donovan has a BA in Journalism & Media Studies from the prestigious Rutgers University. He's currently studying entertainment and fashion law.