Nordstrom delivers surprise profit as inventory woes ease

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Nordstrom delivers surprise profit as inventory woes ease
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Nordstrom Inc posted a surprise first-quarter profit on Wednesday as better inventory control and demand from wealthy shoppers helped the company defy an inflation-driven slump in retail spending, sending its shares up 7% after hours.

May 31 - Nordstrom Inc

The upmarket department store chain's decision to stock up on popular national brands at its off-price banner Rack was also paying off, driving a recovery after months of outdated inventories and product shortages. "The high-end customer pretty resilient, but they're also cautious," CEO Erik Nordstrom said on a post-earnings call, adding that higher spending per trip was helping offset weak traffic.

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