Home / Business / Nordstrom (JWN) shares fell as the retailer noted a 22 percent drop in holiday sales.

Nordstrom (JWN) shares fell as the retailer noted a 22 percent drop in holiday sales.



Someone walks into the Nordstrom store, as New York City steps into Phase 2 of the reopening, following restrictions set to curb the coronavirus outbreak on June 29, 2020 in New York

Rob Kim | Getty Images

On Wednesday, Nordstrom reported a 22% drop in sales for the nine weeks ending Jan. 2 as the mall chains try to pull shoppers into their stores to buy holiday clothes, shoes and gifts.

The company̵

7;s shares were down more than 2 percent in after-hours trading.

Nordstrom said holiday digital sales rose 23% from 2019 levels and accounted for 54% of total sales, compared with 34% last year and more than 30% of customers’ online orders were fulfilled. From the store, the company added

The double-digit drop in sales was in line with expectations set in the fourth quarter, Nordstrom said.

“We are supported by this growing momentum throughout and after the holiday season,” CEO Erik Nordstrom said in a statement.

The company still expects fourth-quarter profit. But it said it still faces pressure due to rising shipping costs in its growing e-commerce business.

Nordstrom is scheduled to hold a virtual investor event on February 4 and will report fourth quarter results on March 2.

On Tuesday, apparel retailer Urban Outfitters reported disappointing holiday sales as store visits plummeted due to the coronavirus outbreak, while big box retailer Target for the day. Wednesday said same-store sales rose more than 17 percent over the holidays, boosted by online profits. Most out-of-store retailers such as Target, Best Buy and Walmart performed better than department store companies.

Nordstrom’s shares have fallen roughly 10% over the past 12 months, with a market capitalization of nearly $ 6 billion.

Read the full press release from Nordstrom.


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