By Yasin Ebrahim
Invesing.com -- Nordstrom slashed its guidance on performance as a wave of promotional activity across the holiday season hurt margins and failed to deliver a big cheer on sales.
Nordstrom Inc (NYSE:JWN) was down more than 6% in afterhours following the update on guidance.
The company reported a 3.5% fall in net sales during the important nine-week holiday period through Dec. 31.
For the full year, the company cut its adjusted EPS guidance to a range between $1.50 and $1.70, from the prior outlook of $2.30 to $2.60 and annual revenue growth is now expected at the low-end of its previously issued outlook of 5% to 7%.
“The holiday season was highly promotional, and sales were softer than pre-pandemic levels. While we continue to see greater resilience in our higher income cohorts, it is clear that consumers are being more selective with their spending given the broader macro environment," CEO Erik Nordstrom said.