Executive Summary

• Nordstrom reported 2Q17 adjusted EPS of $0.65, beating the consensus estimate of $0.64. Revenues increased by 3.5%, to $3.72 billion from $3.59 billion in the year-ago period, but missed the consensus estimate of $3.75 billion.
• Comparable sales increased by 1.7% year over year. Three of the five top-selling brands during the company’s Anniversary Sale, which is historically its largest event of the year, were Nordstrom proprietary labels.
• The company raised its sales growth outlook for the full year to 4% from 3%–4% previously. Nordstrom maintained its comp guidance at 4% and raised its EPS guidance to $2.85–$3.00.