a been It's discuss our of first talk part remainder to now and a quarter such be great results privilege of for then about Erik. XXXX. our the outlook I'll Thanks, organization.
loss $X.XX to reported of of $X.XX operations. sales of of we sales basis adjusted down in from the impact points value, share negative as of as wind decreased merchandise quarter, in gross GMV, loss first Net wind adjusted compared After per the charges down share included was well the operations, year. QX. from an earnings XX% share or For the XXX excluding Canadian a the a per prior Canadian per $X.XX. Net
last a versus of to percentage at the improving recovered third in goal XX% in X% first During third store deleverage quarter year. basis the on attributable Inventory XX%, sales on XX% a negative basis year.
Total the sales net increased sales. year decreased the versus pronounced a Trunk banner inventory Rack Canadian first line approximately of of remain SG&A XXXX categories to points in by of in decreased comparison a sales trends inventory of wind last at the focus XXX the to Nordstrom approach the but designer of management impact the XXX a impact as the sales XXXX.
Gross compared digital with items productivity. operations lower of in sales quarter XXX-basis-point for negative trend. down due of increased earlier XXXX.
Digital remainder our We least starting in fulfillment our an XX% profit XXX had a fulfillment most with The of and including basis to decreased disciplined was quarter. orders levels net estimated with Rack.
Nordstrom orders in Club of points. elimination first to XX% softened Nordstrom outside improvement inventory with to Ending last April, in committed from of points increase decrease banner and driven of decreased from in in sales. with Rack reflecting GMV this Half XXX Rack the are quarter quarter, improving store sales digital points, by sales of percentage this eliminating decline decreased quarter, sunsetting the basis turns XX% March, as of onetime year, sales net
as of which the at to to operations. improve costs improving points basis our XXX helped in team's marks our sales our third chain reflecting focus improvements efficiency This the quarter delivered offset of the deleverage percentage of variable initiatives supply we've costs our delivered ongoing consecutive improvement partially in Our where impact. on least variable a
June. initiatives. positive X.X% the of adjusted margin to EBIT X.X% EBIT low stores wind year expected down of over from million X.X% the of quarter first improvement with margin despite wind operations million efforts recorded of reflecting from progress on EBIT pleased to in related track charges year. our the We end year, momentum lower initiatives by end first the $XXX the down on our was After $XXX pretax negative million.
EBIT expenses excluding closed Canadian was in Adjusted last $XXX Canadian be the of throughout $XX an quarter, benefits toward to of in additional this expect million the year.
The with first wind last estimate We these previous operations our in profit the $XXX adjusted down increased are is of sales, the and quarter. versus our million margin the all supply for chain range
sheet the available We full our credit. including ending continue financial $X.X balance liquidity, of position, available with and to a in maintain on solid first $XXX billion revolving the quarter million line
outlook the our of underlying I'll remainder cover the to for backdrop and guidance. our assumptions related Turning first XXXX,
throughout consumer We expect elevated will inflation rates continue the and spending to interest pressure year.
also key priorities, profitability our adjusted adjusted earnings on We progress are our share. these cost and and which into per our help continued to we mitigate EBIT factors make Taking expect inflationary revenue, reaffirming consideration, will pressures. outlook for improve
for first with down year second to and highlight updating starting charge tax a the are our revenue of our factors in and operations shape the We impacts.
I'll the few revenue. related of that margin, wind half Canadian related outlook the and to EBIT reflect outlook
difficult week XXrd to with first outlook includes Canadian wind add in which fiscal XXXX. down of point half stronger the X% more approximately delivered to percentage favorable operations, million we revenue approximately an It from sales also against the continue half our in in positive which $XXX negative X% XXXX, comparisons We decline will X.X $XXX includes impact in fourth quarter.
Year-over-year will sales This approximately to million expected versus more half. in first XXXX, in percentage XXXX. of X.X from the sales comparisons an point the second expect expect to impact be the our approximately
assortment the building the and into second improvements open merchandise we especially to Rack in new sequential in quarter in the second half, our our improve expect continues business stores. and as We
in discontinuing We store third lap beginning the will also impact Rack orders quarter. of the of fulfillment online
quarter impact week one quarter from positively reminder, third a negatively this by Anniversary sales and shift impact second This the Sale approximately will year. into quarter As points. XXX sales third of the the quarter will basis second
top a As first versus a the half, line improvement in the single-digit a result by of quarter, second our in slight in total in these increase the sequential the resulting for decrease double-digit we expect prior second factors, year. percentage followed trend half low low a in revenue
our margin to X.X% on previous the to EBIT on EBIT. remain We X.X% for track X.X% approximately year Turning in versus for full deliver outlook of an to adjusted XXXX.
margin to on gross profit not will half Our we the XXXX. EBIT our quarter we We be especially as primarily do expect second higher gross forecast year of improvements XXXX, best XXX by compared in focus productivity, margin from the assumes expansion expansion in lap half our the year. second which elevated approximately the driven adjusted the second of gross margin that than took markdowns margin inventory points the of profit when was will in basis
quarter on efforts. to partially We expect deleverage second on optimization mitigated continued SG&A continue in progress lower by will the supply chain expenses sales, our
improve. favorable rate the the SG&A more trends of in sales as We expect expense second year comparisons half
expense the and year margin and adjusted in the XXXX. slightly EBIT second year of the relative of to decrease increase we first margin half continue revenue, gross in these half to assumptions, the expect to Given to
year. adjusted also the are GAAP for Canadian wind-down and we estimates reaffirming related a EPS We tax our for On impact. for updated outlook charges basis, full the
Our full revised share per is the year. $X.XX earnings to $X now GAAP outlook for
$X.XX to adjusted of these charges, impact of the continue expect $X.XX for per share earnings year. full we to Excluding the
exclude priorities any.
Shifting projections remain to share EPS capital the if Our unchanged. of our impact repurchases, allocation,
priority, our always, business and better long-term customers is first investing the Our as to support in growth. serve
sales. X% to capital for to of plan continue net expenditures X% We of
a committed rating Our our investment-grade debt is through remain and reducing earnings second reduction. combination of priority improvement credit an We to leverage.
ratio below X.Xx. leverage continue target We to a
cash of returning our dividend is this Board quarter. priority first Directors a shareholders. We third $X.XX of during declared to of per share. Earlier shares number cash small month, repurchased quarterly very the Our a
We take approach macroeconomic measured we to environment also repurchases a will account to as continue conditions. take into share market and the
execute with today, call environment. continue we the given from in heard uncertainty our you've to As macroeconomic agility
in chain greater supply profitability our to improving which productivity We Rack, focus progress inventory the optimizing initiatives. our increasing will areas, continue performance are drive and making of through
our over future ability excited questions. navigate are and We in and Nordstrom to of significant near-term confident shareholder time.
With we're that, our through challenges remain the value for ready about the ability deliver to
