Nordstrom, Inc. (JWN.US) fourth quarter earnings surpass expectations, privatization expected to be completed in the first half of the year.

Nordstrom, Inc. (JWN.US) reported that its fourth quarter revenue, comparable sales, and profits met or exceeded expectations for the 2024 fiscal year, and stated that its privatization transaction is expected to be completed in the first half of this year. The financial report showed that Nordstrom, Inc.'s fourth quarter revenue was $4.32 billion, a decrease of 2.3% year-on-year, which was $10 million lower than expected; non-GAAP earnings per share were $1.10, which was $0.17 higher than expected. The net profit for the fourth quarter was $165 million, with EBIT of $242 million. After deducting privatization expenses and accelerated technology depreciation expenses, the adjusted EBIT was $273 million, and the adjusted earnings per share were $1.10. Compared to the adjusted 13-week quarter of the 2023 fiscal year, total comparable sales for the company increased by 4.7% in the fourth quarter. In the fourth quarter, women's wear, activewear, and men's wear showed the strongest growth compared to 2023. In the 2024 fiscal year, women's wear, activewear, men's wear, children's wear, and footwear showed the strongest growth. Compared to the same period in 2023, GMV decreased by 0.2% in the fourth quarter, and increased by 3.1% in the 2024 fiscal year. Digital sales in the fourth quarter decreased by 1.8% compared to the same period in 2023, but increased by 2.6% excluding the 53rd week. Digital sales accounted for 38% of total sales this quarter and 36% of fiscal year sales. CEO Erik Nordstrom said, "In the fourth quarter, customers responded positively to the strong performance of our two main brands. We maintained strong momentum throughout the year, with both sales and profitability exceeding our expectations." Nordstrom, Inc. announced in December last year that it had agreed to be acquired by a consortium consisting of company founder John Nordstrom's great-grandson Erik Nordstrom and his brother Peter Nordstrom, as well as Mexican retail chain El Puerto de Liverpool. This acquisition will privatize Nordstrom, Inc. and bring a new strategic chapter to the company. According to the terms of the deal, the Nordstrom family will hold a 50.1% majority stake in the company after privatization, while El Puerto de Liverpool will hold a 49.9% stake, marking the completion of an all-cash transaction.