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Nordstrom shares sink as it feels the pinch of product markdowns during 3Q

Nordstrom Inc shares sank as it cut its fiscal full-year 2022 profit forecast after product markdowns.

The retailer maintained its outlook for revenue growth in the current fiscal year of 5% to 7% but trimmed its forecast for earnings per share to $2.13 from $2.43.

Investors reacted negatively, sending shares down nearly 8% on Wednesday morning.

READ: Nordstrom and Macy's latest US retailers to lower financial goals for the year

For the three-month period to end October 29, 2022, the firm reported a third-quarter net loss of $20 million and loss per diluted share of $0.13.

Excluding a supply chain technology and related asset impairment charge, the company reported adjusted earnings per diluted share of $0.20.

Net sales decreased 2.9% versus the same period in fiscal 2021 and gross merchandise value fell 2.5%, which the company attributed in part to Anniversary Sale timing, which shifted one week to fall in 2Q rather than 3Q this year.

Overall third-quarter total revenue came in at $3.5 billion.

Contact Angela at angela@proactiveinvestors.com

Follow her on Twitter @AHarmantas