That's odd.. your tool icon is showing 'Extrude along Normals', but your F9 'Adjust Last Operation' panel is showing 'Extrude and Move'. If I invoke the tool in 2.92 or 2.93, this is what I see...
.. 'Extrude Region and Shrink / Fatten', which is what you want. And you're using 2.93.0.
The AltE > 'Extrude along Normals' shortcut option is not available for edges, but is for faces, which, IMO, is inconsistent, and needs fixing.
TLDR; Shortcut users would probably E Extrude, + Right-Click : Drop the extrusion in place, + AltS Shrink / Fatten, as represented in this illustrated version of the F9 panel.
Taking @moonboots comment into account, note that edge (vertex) normals are not the same as face normals. If you want a perpendicular extrusion, the last move would be S Scale, not Alt S, along normals. The Pivot would have to be set to scale towards the center of the loop.