Not a Good Day for Retailers: J.C. Penney, Nordstrom, Stage Stores Earnings Come Up Short


After markets closed last night, J.C. Penney Co. Inc. (NYSE: JCP) and Nordstrom Inc. (NYSE: JWN) reported quarterly results that did not meet expectations. This morning, before markets opened, Stage Stores Inc. (NYSE: SSI) joined the parade.

J.C. Penney reported an earnings per share (EPS) loss of $1.31, excluding restructuring and transition charges. Thomson Reuters had pegged the loss at $0.86. J.C. Penney's net loss totaled $348 million for the quarter on revenues of $2.6 billion. Same-store sales fell 17%, compared with the first quarter of 2012, and gross margins fell from 37.6% to 30.8%.

At Nordstrom, the consensus estimates called for EPS of $0.76 on revenues of $2.8 billion. The company reported EPS of $0.73 on revenues of $2.75 billion. Same-store sales were up 2.7%. Nordstrom said it expects sales to rise 4% to 6% for the full year, down 0.5% at each end from its previous forecast.

Stage Stores, which operates 864 department and discount stores around the country, said this morning that it posted an adjusted EPS loss of $0.02 on sales of $379 million in the first quarter. Analysts were expecting positive EPS totaling $0.09 on sales of $388.4 million. The company also guided full-year sales to a range of $1.7 billion to $1.72 billion and adjusted EPS to a range of $1.45 to $1.55. The consensus estimates had been for $1.72 billion in revenues and EPS of $1.55. Essentially, Stage Stores has lowered its sights.

The catastrophe at J.C. Penney is well-documented. Nordstrom and Stage Stores talk about the weather, which does have a real impact on retail traffic and sales. And looking ahead does not offer much consolation for any of these retailers.

J.C. Penney's shares are down 1.3% in premarket trading this morning, at $18.53 in a 52-week range of $13.55 to $32.55.

Nordstrom's shares are down 3.3%, at $59.10 in a 52-week range of $46.27 to $61.81.

Stage Stores shares are inactive this morning, after closing down 2.9% yesterday at $26.08 in a 52-week range of $15.65 to $29.59.

Filed under: 24/7 Wall St. Wire, Earnings, Retail, Services Tagged: featured, JCP, JWN, SSI