Victoria’s Secret tops holiday quarter earning estimates

Victoria's Secret & Co. (NYSE:VSCO) reported 4th fourth results that topped Wall Street expectations and issued a stronger-than-anticipated outlook for the twelvemonth ahead, arsenic the lingerie retailer pointed to continued momentum from its turnaround strategy.

For the 4th ended January 31, the institution reported adjusted net of $2.77 per diluted share, supra analysts’ expectations of $2.52.

Revenue came successful astatine $2.27 billion, exceeding the $2.23 cardinal statement estimate. Net income accrued 8% from a twelvemonth earlier, portion comparable income besides roseate 8% during the quarter.

Victoria's Secret CEO Hillary Super said the institution saw broad-based spot during the vacation period. “We delivered an exceptional 4th fourth and a standout year, exceeding top- and bottom-line guidance with wide based outperformance crossed brands, channels and geographies,” Super said successful a statement.

“In the quarter, our lawsuit responded enthusiastically to our merchandise and marketing, arsenic demonstrated by increasing caller lawsuit acquisition and accrued AURs.”

For the afloat fiscal twelvemonth 2025, Victoria’s Secret reported nett income of $6.55 billion, up 5% from $6.23 cardinal successful fiscal 2024. Comparable income besides accrued 5% for the year.

Looking ahead, the institution said it expects first-quarter income to scope betwixt $1.49 cardinal and $1.53 billion, supra analysts’ expectations of astir $1.42 billion. Operating income for the 4th is projected to beryllium betwixt $32 cardinal and $42 million.

For fiscal 2026, Victoria’s Secret forecast nett income of $6.85 cardinal to $6.95 billion, compared with $6.55 cardinal successful fiscal 2025 and supra marketplace expectations of astir $6.8 billion. The institution expects operating income to beryllium betwixt $430 cardinal and $460 cardinal for the year.

Despite the beardown study and upbeat guidance, shares of Victoria’s Secret traded down astir 12% soon aft Thursday’s opening bell, apt reflecting nett taking aft the stock’s rally successful caller months.