Bath & Body Works shares gain as Q1 beat and reaffirmed guidance reassure investors

Adjusted EPS of $0.32 bushed statement of $0.29 and topped the guided scope of $0.24 to $0.30. Net income of $1.38 billion, down 3.2% year-over-year, came successful up of the $1.36 cardinal statement and the company's guided scope of down 4% to 6%. Adjusted operating income of $151 cardinal importantly topped estimates of $141 million.

The institution reaffirmed full-year 2026 guidance for nett income down 4.5% to 2.5%, adjusted EPS of $2.40 to $2.65, and escaped currency travel of astir $600 million.

For Q2, it guided nett income down 5% to 3% and adjusted EPS of $0.20 to $0.25, with the midpoint coming successful up of the $0.21 consensus.

CEO Daniel Heaf said the results exceeded guidance but remained beneath the modular the marque is susceptible of delivering. "That world reinforces the urgency with which we are executing the Consumer First Formula," helium said. "Our efforts to fortify our leader categories, modernize the brand, and grow our scope are opening to resonate with consumers."

By segment, US and Canada store income fell 4% year-over-year, planetary roseate 9%, and e-commerce declined 2%.

Jefferies called the 4th a bushed connected some income and net and said it would beryllium listening connected the telephone for updates connected strategical initiatives, the $250 cardinal outgo savings plan, and aboriginal reads connected the company's Amazon launch.

Bath & Body Works besides said CFO Eva Boratto volition measurement down connected June 12 to prosecute different opportunity. Tom Javitch, who has much than 16 years astatine the company, has been named interim CFO portion a imperishable hunt gets underway.