March 5 Reuters Nordstrom forecast annual results largely below Wall Street expectations on Tuesday, signaling a slowerthanexpected rebound in demand even as consumers see some relief from easing inflationary pressures, sending shares down 10 after the bell.

The company joins Macy39;s in signaling weak 2024 sales as retailers brace for another year where spending on nonessential items such as apparel and household equipment is likely to remain pressured.

We continue to see a cautious consumer that is mindful of discretionary purchases in light of inflation, higher interest rates, Nordstrom CFO Cathy Smith said.

The company expects 2024 revenue to be between down 2 and up 1, compared to LSEG estimates of a 0.04 rise.

Nordstrom forecast annual profit per share in a range of 1.65 to 2.05, while analysts had expected 1.98. The company expects firstquarter results to be near breakeven to a slight loss.

The outlook is disappointing … Nordstrom really just hasn39;t recovered that well from the pandemic, Morningstar analyst David Swartz said.

Nordstrom39;s fourthquarter total revenue of 4.42 billion beat estimates of 4.39 billion, mainly driven by strong demand for running shoes and beauty products during the holiday season.

Excluding items, the company earned 96 cents per share, beating estimates of 88 cents, on easing supply costs and lower markdowns.

Sales at Nordstrom39;s discount banner Rack rose 14.6, while the company39;s eponymous label recorded a 3 drop in…