What: Net sales across Nordstrom stores exceeded pre-pandemic levels in the first quarter with a 23.5% jump thanks to Americans buying designer apparel and footwear as they return to offices and social events snapped up. Both Nordstrom and Nordstrom Rack banners post double-digit sales growth.

Why it is important: Counting on demand from affluent consumers to help overcome inflation, Nordstrom shows confidence by raising its annual profit and revenue forecasts.

Nordstrom, which also authorized a new $500 million buyback, projected fiscal 2022 revenue to rise 6% to 8%, compared with a prior forecast of 5% to 7% growth. Full-year adjusted profit per share is expected between $3.38 and $3.68, higher than $3.15 to $3.50 earlier.

Meanwhile, its off-price division, Nordstrom Rack, posted a 10.3% increase in quarterly sales.

Total revenue rose 18.7% to $3.57 billion in the first quarter, surpassing analysts' estimates of $3.28 billion. The retailer said net income for the quarter ended April 30 rose to $20 million, or 13 cents per share, from a loss of $166 million, or $1.05 per share, a year earlier.

Nordstrom Q1 results