Nordstrom (NYSE:JWN) revealed mixed fourth-quarter earnings amid flat sales late Thursday but said it expects revenue to grow in the current fiscal year.
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The Seattle-based luxury department store reported adjusted earnings of $268 million, or $1.37 a share, compared with a year-earlier profit of $284 million, or $1.40. That’s above average analyst estimates of $1.33 in a Thomson Reuters poll.
Revenue for the three months ended Feb. 1 was flat year-over-year at $3.6 billion, below the Street’s view of $3.73 billion.
Same-store sales, a key metric of sales at stores open longer than a year, was up 2.6%, led by strong sales of women’s apparel, men’s shoes, cosmetics and accessories. That figure excludes the impact of an extra week in 2012 that would have skewed year-over-year comparisons.
In fiscal 2014, Nordstrom expects to record capital expenditures in the range of $840 million to $880 million, up from $714 million last year, as it makes strategic investments to fuel online and Nordstrom Rack sales, as well as the company’s planned entry into Canada.
Estimated loss before interest and taxes for the Canada division is expected to be roughly $35 million this year. The company plans to open a Nordstrom department store in Calgary on Sept. 19 with 140,000 square feet.
For the current fiscal year, the retailer predicts sales growth of 5.5% to 7.5% on a same-store sales improvement of 2% to 4%. Adjusted earnings are expected to be in the range of $3.75 to $3.90. Analysts on average are calling for earnings of $4.05 on sales of $13.49 billion.
For the first quarter, it projects earnings in the range of 60 cents to 70 cents on sales growth of 3.5% to 5.5%, compared with the consensus view of 78 cents on sales of $2.92 billion.
Shares of Nordstrom were down about 0.75% to $59 in after-hours trade.