1. News
March 2, 2022

Nordstrom registers 38% growth in full-year revenue for FY21

The retailer expects its FY22 revenue to grow by between 5% and 7% year-on-year.

US-based luxury department store chain Nordstrom has reported that its full-year revenue for the fiscal year 2021 (FY21) grew by 38% to $14.78bn, compared with $10.71bn in FY20.

The total revenue calculation includes retail sales and credit card revenues.

Nordstrom’s net earnings for the year were $178m and its diluted earnings per share (EPS) amounted to $1.10.

The company’s earnings before interest and taxes (EBIT) were $492m, representing 3.4% of its sales.

For the fourth quarter (Q4), which ended on 29 January, Nordstrom’s net sales increased by 23% compared with the corresponding period of last year, while its gross merchandise value (GMV) grew by 24% from the prior year.

The company’s online sales for Q4 dropped by 1% from last year, representing 44% of its total sales during the quarter and 42% of its total FY21 sales.

Nordstrom’s net earnings for the three-month period were $200m and it recorded an EPS of $1.23 for the quarter.

Its Q4 EBIT was $299m, representing 6.8% of its total sales in the quarter.

Nordstrom CEO Erik Nordstrom said: “We advanced our strategic initiatives this quarter, with sequential sales improvement, strong digital growth and a significant increase in profitability.

“Our team continues to work with urgency to accelerate our progress and invest in our capabilities to better serve customers and profitably grow sales.

“Our primary focus is on three areas: improving Nordstrom Rack performance, increasing profitability, and optimising our supply chain and inventory flow.

“Our progress has given us line of sight to achieve in the coming year the financial targets we presented at our 2021 Investor Event.”

For FY22, Nordstrom expects its revenue, including retail sales and credit card revenues, to grow by 5% to 7% against FY21.

The company has forecast its EPS for the year to be between $3.15 and $3.50.