Yahoo Finance's Emily McCormick breaks down the latest quarterly earnings from Nordstrom.
DAVE BRIGGS: All right, will the retail route continue? Nordstrom reported its Q1 earnings after hours. Yahoo Finance's Emily McCormick here to break it down. Hi there, Emily. What are we seeing?
EMILY MCCORMICK: Well, Dave, at least for now, Nordstrom is bucking the trend of the broader retail route. We did get better than expected results for the first quarter, especially on the top line for Nordstrom here. And the company also raised its full year guidance. And we are seeing shares soaring by about 11% now in the after hours session. Now, going through these Nordstrom numbers here, Nordstrom now sees revenue growth of between 6% and 8% for the full year. It previously saw between 5% and 7% sales growth, so an increase on that top line outlook.
And on the bottom line, it now sees adjusted earnings per share coming in between $3.20 and $3.50. Now, previously, it saw between $3.15 and $3.50, so an increase there on the bottom line as well. Now, for the first quarter that Nordstrom just ended, those results were also largely better than expected. Total revenue was $3.57 billion versus the $3.28 billion that had been expected by consensus analysts on Wall Street.
And the company said this in its earnings statement. Quote, "In the first quarter, core categories, including men's and women's apparel, shoe, and designer had the strongest growth against 2021, as customers refresh their wardrobes for occasions such as social events, travel, and return to office." Nordstrom also noted that merchandise margins improved as a result of favorable pricing impacts and lower markdown rates. So there you have it, guys. At least for now, Wall Street seeing a positive impact with that stock up, again, still gaining here in after hours trading, guys.
DAVE BRIGGS: Represents a much more affluent shopper, right, than Target or Walmart or Abercrombie or any of the others we've seen. Emily McCormick, thanks so much. Appreciate it.