forecast@ (Adds quote from Co-President, retail consultant,)
Aug 16 (Reuters) - Upscale department store Nordstrom Inc reported better-than-expected quarterly same-store sales growth on Thursday, as more people shopped at its online stores, leading the department store operator to raise its full-year profit forecast.
For 2018, Nordstrom now expects an adjusted profit of $3.50 to $3.65 per share, compared with its previous forecast of $3.35 to $3.55.
Nordstrom managed to report upbeat results despite the problems in the broader retail sector which has suffered from fast-changing fashion trends and discount-hungry shoppers who favor buying online.
Shares of the Seattle, Washington-based company rose 11 percent to $58.30 in after-hours trading.
Online sales, helped by online promotions, rose 23 percent and accounted for 34 percent of total sales.
"We feel like their inventory doesn't have a huge overlap with Amazon's," Director of Capital Markets at asset management firm Exponential ETFs Josh Blechman said. "Because it is a little bit higher-end, that sort of lets their online offerings to shine more."
Same-stores sales rose 4 percent in the second quarter ended Aug. 4, beating the average analyst estimate of a rise of 0.81 percent, according to Thomson Reuters I/B/E/S.
Excluding items, the company earned 95 cents per share, beating estimates of 84 cents, according to Thomson Reuters I/B/E/S.
Net sales rose about 7 percent to $3.98 billion, higher than the $3.72 billion analysts had expected.
On a conference call with investors, Nordstrom's Co-President Blake Nordstrom also highlighted the competitive advantage Nordstrom has because of its inventory and product assortment.
"The strength of our inventory position allowed us to be fluid and respond quickly. We took swift action to accelerate inventory turns, strengthen our core assortment and improve our execution in stores," he said. (Reporting by Karina Dsouza in Bengaluru and Melissa Fares in New York; Editing by Maju Samuel and Sweta Singh)