A shopper leaves a Nordstrom store on May 26, 2021 in Chicago, Illinois.
Scott Olson | Getty Images
Nordstrom on Tuesday reported earnings that fell short of analysts’ expectations as labor costs ate into profits and sales and its Nordstrom Rack business struggled to return to pre-pandemic levels.
The news sent its stock tumbling more than 23% in extended trading.
The department store chain has tried to take advantage of shoppers refreshing their wardrobes as people return to offices and social events. Sales outpaced Wall Street estimates in the third quarter, but the company only reiterated its revenue forecast for the year.