Q1 2024 Nordstrom Inc Earnings Call Transcript
Key Points
- Nordstrom Inc (JWN) delivered net sales growth of 5% in Q1 2024, with double-digit growth at Nordstrom Rack.
- The company saw year-over-year increases in customers and purchase trips, indicating strong customer engagement.
- Nordstrom Inc (JWN) managed inventory effectively, ending the quarter with a double-digit positive inventory spread.
- The Nordy Club loyalty program saw significant growth, with loyalty sales reaching nearly 70% of total sales.
- Digital business showed its fourth consecutive quarter of sequential improvement, driven by better balance across price points and faster shipping.
- Nordstrom Inc (JWN) reported a loss per share of $0.24 for Q1 2024, indicating profitability challenges.
- Gross profit as a percentage of net sales decreased by 225 basis points compared to the same period last year.
- Operational factors such as external theft and inventory cleanup in the supply chain negatively impacted gross margin.
- Higher labor costs partially offset improvements in variable costs, affecting SG&A expenses.
- The macroeconomic environment remains uncertain, with higher interest rates and inflationary pressures posing risks.
Greetings, and welcome to the Nordstrom first-quarter 2024 earnings conference call. (Operator Instructions) As a reminder, this conference is being recorded.
At this time, I'll turn the call over to Jamie Duies, Head of Investor Relations for Nordstrom. Thank you. You may begin.
Good afternoon, and thank you for joining us. Before I begin, I want to mention that we will be referring to slides which can be viewed in the Investor Relations section on nordstrom.com. Any discussion may include forward-looking statements, so please refer to the slide with our Safe Harbor language.
Participating in today's call are Erik Nordstrom, Chief Executive Officer; Pete Nordstrom, President; and Cathy Smith, Chief Financial Officer, who will provide a business update and discuss the company's first-quarter performance.
Please note that when discussing our results and outlook, we will be referring to them on an adjusted basis for EBIT, EBIT margin, and earnings per share. Reconciliations to the most directly
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
