L Brands Earnings: LB Stock Slumps as Victoria’s Secret Comps Dip

Ann Santiago
March 3, 2019

Victoria's Secret's same-store sales also fell during the holidays, dropping 3% during the quarter.

On Wednesday, its parent company L Brands reported fourth-quarter earnings, same-store sales at Victoria's Secret were down 3%.

In recent years, sales have slipped and the brand has struggeld to resonate with shifting consumer demands.

As for if Twin Falls, one of the four Victoria's Secret locations in Idaho will close?

A customer passes by an L Brands Inc., Victoria's Secret retail store in Manhattan, New York, U.S., May 13, 2016. Analysts had expected sales of $4.88 billion, Total sales at Victoria's Secret were $2.531 billion, down from $2.668 billion past year.

The company did not rule out ending the fashion show or using more inclusive marketing.

"It's a 42-minute entertainment special".

"The most important thing, in our view, is the merchandise", he said.

His comments sparked an outcry online, which later led to him issuing a formal apology. In 2017 when the fashion show was aired on CBS, 5 million people tuned in and the show got a 1.5 rating-the lowest rating in history at the time.

Meanwhile, more body-positive brands such as American Eagle's Aerie and ThirdLove (which is becoming increasingly critical of Victoria's Secret) have gained market share. "The outlook illustrates that the lingerie-sales struggle will persist until the retailer finds a way to reconnect with shoppers on price, product and image", said Bloomberg Intelligence analysts Poonam Goyal and Morgan Tarrant.

The results beat the company's own forecasts for the quarter, which it had revised downward midway through 2018.

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