Nordstrom 2009 Annual Report Download - page 23

Nordstrom, Inc. and subsidiaries 15
Item 6. Selected Financial Data.
(Dollars in millions except sales per square foot and per share amounts)
The following selected financial data are derived from the audited Consolidated Financial Statements and should be read in conjunction with Item 1A
“Risk Factors,” Item 7 “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” and the Consolidated Financial
Statements and related notes included in Item 8 of this Annual Report on Form 10-K.
Fiscal year 2009 2008
20076 20067 2005
Earnings Results
Net sales $8,258 $8,272 $8,828 $8,561 $7,723
Credit card revenues 369 301 252 105 97
Gross profit1 2,930 2,855 3,302 3,207 2,835
Selling, general and administrative (“SG&A”) expenses:2
Retail stores, direct and other segments (“Retail”)2 (2,109) (2,103) (2,161) (2,180) (2,006)
Credit segment2 (356) (274) (198) (92) (85)
Earnings on investment in asset-backed securities, net2,3 - - 18 109 89
Earnings before interest and income taxes (“EBIT”) 834 779 1,247 1,149 930
Interest expense, net (138) (131) (74) (43) (45)
Earnings before income taxes (“EBT”) 696 648 1,173 1,106 885
Net earnings 441 401 715 678 551
Balance Sheet and Cash Flow Data
Accounts receivable, net $2,035 $1,942 $1,788 $684 $640
Investment in asset-backed securities - - - 428 561
Merchandise inventories 898 900 956 997 956
Current assets 4,054 3,217 3,361 2,742 2,874
Land, buildings and equipment, net 2,242 2,221 1,983 1,757 1,774
Total assets 6,579 5,661 5,600 4,822 4,921
Current liabilities 2,014 1,601 1,635 1,433 1,623
Long-term debt, including current portion 2,613 2,238 2,497 631 934
Shareholders’ equity 1,572 1,210 1,115 2,169 2,093
Cash flow from operations 1,251 848 312 1,142 776
Performance Metrics
Same-store sales percentage (decrease) increase4
(4.2%) (9.0%) 3.9% 7.5% 6.0%
Gross profit % of net sales
35.5% 34.5% 37.4% 37.5% 36.7%
SG&A % of net sales:
Retail 25.5% 25.4% 24.5% 25.5% 26.0%
Total 29.8% 28.7% 26.7% 26.5% 27.1%
EBIT as a percentage of total revenues 9.7% 9.1% 13.7% 13.3% 11.9%
EBT as a percentage of total revenues 8.1% 7.6% 12.9% 12.8% 11.3%
Net earnings as a percentage of total revenues 5.1% 4.7% 7.9% 7.8% 7.1%
Return on average shareholders’ equity 31.7% 34.5% 43.6% 31.8% 28.4%
Sales per square foot5 $368 $388 $435 $423 $392
Retail SG&A expense per square foot5 $94 $99 $106 $108 $102
Per Share Information
Earnings per diluted share $2.01 $1.83 $2.88 $2.55 $1.98
Dividends per share 0.64 0.64 0.54 0.42 0.32
Book value per share 7.22 5.62 5.05 8.43 7.76
Store Information (at year end)
Full-line stores 112 109 101 98 98
Rack and other stores6 72 60 55 57 57
International Façonnable boutiques6 - - - 36 32
Total square footage 22,773,000 21,876,000 20,502,000 20,170,000 20,070,000
1Gross profit is calculated as net sales less cost of sales and related buying and occupancy costs (for all segments).
2In 2009, we reclassified other income and expense, net in our consolidated statement of earnings, which was previously presented separately. A portion of other income and expense, net
has been reclassified to earnings on investment in asset-backed securities, net, and the remaining portion has been reclassified to selling, general and administrative expenses.
3On May 1, 2007, we combined our Nordstrom private label credit card and Nordstrom VISA credit card programs into one securitization program. At that time the Nordstrom VISA credit card
receivables were brought on-balance sheet.
4Same-stores include stores that have been open at least one full year at the beginning of the year and sales from our Direct segment.
5Sales per square foot and Retail SG&A expense per square foot are calculated as net sales and Retail SG&A expense, respectively, divided by weighted average square footage.
6During the third quarter of 2007, we completed the sale of our Façonnable business and realized a gain on sale of $34 ($21, net of tax). Results of operations for fiscal year 2007 include the
international Façonnable boutiques through August 31, 2007 and the domestic Façonnable boutiques through October 31, 2007. Prior to the sale, the domestic Façonnable boutiques were
included in “Rack and other stores.”
7Fiscal year 2006 includes an extra week (the 53rd week) as a result of our 4-5-4 retail reporting calendar. The 53rd week is not included in our calculation of same-store sales.