• Q2 net profit unchanged at US$183m
  • Net sales up 6.2% to $3.3bn
  • Comparable store sales up 3.3%
Nordstroms second-quarter sales were up 6.2%

Nordstrom's second-quarter sales were up 6.2%

Retailer Nordstrom’s second-quarter profit was flat on last year despite rises in sales, thanks to a series of company investments.

These included investments in fulfillment and technology, as well as $5m in costs related to the company’s imminent entry into Canada.

Top-performing merchandise categories in the three months to 2 August included men’s apparel, while off-price business Nordstrom Rack posted a sales increase of 18%, with comps up 4%.

Nordstrom, which recently announced the acquisition of personalised men’s clothing business Trunk Club for $350m in stock, raised its full-year outlook, predicting sales up 6.5-7.5%, and earnings per share of $3.80-3.90.

However, analyst Richard Jaffe of Stifel reiterated his “hold” recommendation for Nordstrom stock, pointing out: “The challenge facing management is to continue to drive this level of success while faced with the increasing expenses related to maintaining and growing the direct business, a Canadian presence for both full-line and Rack stores and the construction of a NYC flagship store.”