Nordstrom Expects Charges Of About 10 Basis Points To SG&A As Percentage Of Net Sales In Q3 And Q4; Cites Uncertain External Environment; Anticipates Improvement In Sales-To-Inventory Spread; Plans To Open 12 More Rack Stores Ahead Of Holiday Season
Portfolio Pulse from Benzinga Newsdesk
Nordstrom anticipates charges of about 10 basis points to SG&A as a percentage of net sales in Q3 and Q4 due to an uncertain external environment. The company expects an improvement in the sales-to-inventory spread and plans to open 12 more Rack stores ahead of the holiday season.
August 27, 2024 | 8:44 pm
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Nordstrom expects a 10 basis point increase in SG&A as a percentage of net sales in Q3 and Q4 due to an uncertain environment. However, it anticipates an improved sales-to-inventory spread and plans to open 12 new Rack stores before the holiday season.
The expected SG&A charge indicates potential cost pressures, but the anticipated improvement in sales-to-inventory spread and expansion of Rack stores could offset this. The mixed signals suggest a neutral short-term impact on Nordstrom's stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100