Business

Nordstrom stores chain sales disappoint investors

Nordstrom Image copyright Getty Images

Department store Nordstrom saw its share price fall over 7% in after hours trading after it reported lower than expected profits in the fourth quarter.

Nordstrom's profit fell to $180m (£125.5m) in the three months to the end of January compared with $255m during the same time the year before.

Unseasonably warm winter weather and a decline in holiday shopping forced the store to cut prices to move inventory.

The slow holiday shopping season also hit rivals Macy and Kohls.

For the year, Nordstom brought in $600m in profit, down from $720m in the 2014 fiscal year.

On the positive side, sales at stores opened less than a year rose 1% above the expected 0.4% growth forecast by some analysts.

Nordstrom has recently focused on expansion. In 2015 it added stores in Canada and Puerto Rico.

In the 2016 financial year it plans to open 23 more stores under the Nordstrom and discount outlet brands

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