Upscale department store Neiman Marcus Inc has seen its first quarter profit slump after being hit by lower sales at its stores.

For the three months to 1 November, net earnings dropped to $12.9m from $78.8m a year earlier.

Revenues fell 12.7% to $986m from $1.13bn in the prior year, and comparable revenues dropped 14.5%.

Operating earnings at the Dallas-based firm were $81.6m compared to $189.7m a year ago.