THE WHAT? L Brands has reported net sales of US$3.836 billion for the nine weeks to January 2, 2021, up 5 percent on the equivalent period last year.
THE DETAILS Bath & Body Works was the star of the show with sales up 17 percent, including a 5 percent rise in store and 6 percent in the direct channel.
In contrast, sales dove 9 percent for Victoria’s Secret, with similar drops in both bricks and mortar and online but the merchandise margin rate for the quarter-to-date period increased significantly.
THE WHY? Andrew Meslow, Chief Executive Officer of L Brands and Bath & Body Works, said “We are very pleased with our Holiday results, which significantly exceeded our initial expectations, driven by an increase in profitability at both Bath & Body Works and Victoria’s Secret. In this challenging environment, we maintained our focus on customer and associate safety and delivered exceptional execution. Bath & Body Works continues to deliver record results, demonstrating the strength of the brand. The turnaround at Victoria’s Secret also continues to gain momentum, driven by an improved merchandise assortment and focused execution of retail fundamentals and our profit improvement plan.”