Buyers stand in line as they anticipate a Victoria's Secret retailer to open on Black Friday, on the Tysons Nook Heart, in Tysons, Virginia, Novemb
Buyers stand in line as they anticipate a Victoria’s Secret retailer to open on Black Friday, on the Tysons Nook Heart, in Tysons, Virginia, November 27, 2020.
Hannah McKay | Reuters
Victoria’s Secret mum or dad L Manufacturers stated Thursday its same-store gross sales throughout the vacation interval grew 5%, in contrast with a 3% drop a yr in the past, as consumers purchased extra lounge put on, hand cleaning soap and candles forward of the brand new yr.
CEO Andrew Meslow stated the corporate’s vacation outcomes “considerably exceeded our preliminary expectations,” as efforts to chop again on promotions and promote extra merchandise at full value paid off.
The retailer, which additionally owns Tub & Physique Works, is now calling for fourth-quarter earnings to be between $2.70 and $2.80 per share. Analysts have been anticipating $1.96, in line with Refinitiv knowledge.
L Manufacturers is focusing on fourth-quarter income of $3.84 billion. Analysts had been calling for $4.74 billion.
The corporate’s shares have been up greater than 5% in late-morning buying and selling, having surged greater than 150% over the previous 12 months.
For the nine-week interval ended Jan. 2, L Manufacturers reported internet gross sales of $3.84 billion, down 1.8% from $3.91 billion for the comparable year-ago interval.
Inside Victoria’s Secret, same-store gross sales — which observe gross sales each on-line and in shops open for no less than 12 months — fell 9% throughout the vacation interval, with the metric dropping 23% at brick-and-mortar shops, due largely to mall visitors declining throughout the Covid pandemic. The typical value spent on an merchandise at Victoria’s Secret was up, L Manufacturers stated.
Identical-store gross sales for Tub & Physique Works have been up 17%, together with a 5% achieve in shops.
“Tub & Physique Works continues to ship document outcomes, demonstrating the power of the model,” Meslow stated in an announcement.
“The turnaround at Victoria’s Secret additionally continues to realize momentum, pushed by an improved merchandise assortment and centered execution of retail fundamentals and our revenue enchancment plan,” he added.
L Manufacturers is predicted to report fourth-quarter earnings on Feb. 24.
Discover the total vacation outcomes from L Manufacturers right here.