Victoria’s Secret parent company L Brands Inc. reported quarterly earnings after the market closed, improving on top and bottom lines, and causing company shares to rise more than 14 percent in after-hours trading as a result.
For the three-month period ending October 31, the company’s total revenues increased to $3.05 billion, from $2.67 billion the same time last year.
By brand, the Victoria’s Secret business, which includes the lingerie, beauty and Pink divisions, decreased by 14 percent to $1.3 billion. The sales of Bath & Body Works surged to $1.7 billion during the same period from $1.09 billion a year ago. The company logged a profit of $330 million, compared with a loss of nearly $252 million in 2019’s third quarter, as a result.
The lingerie giant also showed some signs of improvement. Its total comparable sales were up 4 percent in the Victoria’s Secret business, while Bath & Body Works total comparable sales leaped 56 percent year-over-year as consumers continued to stock up on soaps and hand sanitizers.
In the direct-to-consumer channel, Victoria’s Secret’s sales rose by 42 percent, while Bath & Body Works’ sales increased by 132 percent.