Bath & Body Works Q2 Earnings Tops Estimates

Bath & Body Works Inc BBWI reported second-quarter FY21 sales growth of 36% year-on-year, to $1.70 billion, beating the analyst consensus of $1.68 billion.
The revenue from the Bath & Body Works U.S. and Canada stores increased 81.3% Y/Y to $1.23 billion, International stores rose 18.7% to $67 million, while Direct sales declined 21.5% to $407.2 million.
Bath & Body Works completed the separation from Victoria's Secret.
Including Victoria's Secret results, total net sales increased 43% to $3.32 billion.
Gross profit increased 110.5% Y/Y to $1.4 billion.
The operating margin was 18.1%, and operating income for the quarter rose 1260% to $599 million.
EPS of $1.34 beat the analyst consensus of $0.83.
"Due to the tremendous focus and effort of the teams across our business, Bath & Body Works reported record second-quarter results, with a net sales increase of 54 percent compared to the second quarter of 2019," said CEO Andrew Meslow.
Outlook: Bath & Body Works sees Q3 FY21 EPS of $0.55 - $0.60, excluding one-time costs related to the spin-off of Victoria's Secret, versus the consensus of $0.58.
Price Action: BBWI shares are trading higher by 2.42% at $60.88 in premarket on the last check Thursday.

Earnings Calendar