Financial Data and Key Metrics Changes - The fourth quarter adjusted operating income and EPS came in at the high end of guidance, with sales up 3% year-over-year, meeting the midpoint of guidance [20] - The gross margin rate increased significantly compared to last year, driven by disciplined inventory management and cost reductions [20][22] - For fiscal 2024, sales are forecasted to be about $6 billion, reflecting a low single-digit decline compared to fiscal 2023 [25] Business Line Data and Key Metrics Changes - The beauty business continued to be the best-performing category, with year-over-year growth for the second consecutive quarter, followed by casual sleepwear, panties, and bras [33] - The PINK business faced challenges, but there was an increase in customer traffic and brand equity during the fourth quarter [74] - The Body by Victoria bra collection was relaunched with significant success, marking the biggest bra launch in five years [114] Market Data and Key Metrics Changes - Sales for the intimate market in North America decreased mid-single digits for the fourth consecutive quarter, with the company maintaining a 20% market share [22] - The international business saw system-wide retail sales up more than 20% in the fourth quarter, driven by growth in China and globally [32][88] - Digital share in the intimates category increased slightly, while store share decreased slightly [22] Company Strategy and Development Direction - The company is focused on transforming its foundation by modernizing the operating model and driving operating margin expansion [26] - A new share repurchase program has been approved, authorizing the repurchase of up to $250 million of common stock [24] - The company aims to leverage its market leadership position and cultural influence to drive long-term financial growth [39] Management's Comments on Operating Environment and Future Outlook - The broader intimates market in North America is expected to remain pressured in the first half of 2024, with stabilization anticipated in the back half of the year [25][37] - Management is cautiously optimistic about the potential for sales trends to improve as new merchandising strategies are implemented [50][81] - The company is committed to investing in technology and customer experience initiatives to enhance operational efficiency [109] Other Important Information - The loyalty program has over 26 million members, driving more than 75% of weekly sales [23] - The company is expanding its Store of the Future initiative, which has shown strong performance in remodeled stores [75] - The company is focused on maintaining healthy inventory levels and managing promotional activities effectively [21][64] Q&A Session Summary Question: How does the company view the domestic market for intimates? - The company assumes the domestic market will continue to be down through spring but expects stabilization in the back half of the year [43] Question: How does the credit card late fee proposal impact guidance? - The company does not recognize revenue from the fees discussed, but it impacts their provider's model [45] Question: What is the outlook for operating margin and SG&A? - SG&A dollars are expected to be up $10 million to $15 million year-over-year, driven by technology and marketing investments [108] Question: What are the expectations for the Body by Victoria launch? - The Body by Victoria launch was the biggest and most successful bra launch in five years, indicating strong customer interest [114] Question: What is the strategy for the PINK brand? - The PINK brand is being rebuilt to target a younger consumer, with cautious buying strategies in place [74] Question: How is the company managing promotional activities? - The company is balancing promotional activities with maintaining healthy gross margins, with a slight increase in promotions expected [64]

Victoria’s Secret (NYSE:VSCO) stock is falling hard on Thursday following the release of its latest earnings report.The company’s report for the fourth quarter of 2023 starts with adjusted earnings per share of $2.58. That’s better than the $2.47 per share Wall Street was expecting. It’s also better than the $2.47 reported in the same period of the year prior.Unfortunately, it couldn’t keep that positive momentum going with revenue coming in at $2.08 billion. That’s below the $2.9 billion in revenue that an ...

Forward Looking Statements • market disruptions including pandemics or significant health hazards, severe weather conditions, natural disasters, terrorist activities, financial crises, political crises or other major events, or the prospect of these events; • our dependence on traffic to our stores and the availability of suitable store locations on satisfactory terms; • our ability to protect our reputation and the image and value of our brands; • our ability to realize the potential benefits and synergies ...

Key TakeawaysVictoria's Secret shares fell 26% in extended-hours trading after the company issued cautious sales guidance below analysts' expectations amid softness in the North American intimate apparel market.The company announced a new stock buyback program, authorizing the repurchase of up to $250 million of the company’s common stock. A close below an important zone of support between $20 and $21.50 could open the door to a retest of the stock's record low at $13.62. Victoria's Secret (VSCO) shares slu ...

Victoria's Secret (VSCO) reported $2.08 billion in revenue for the quarter ended January 2024, representing a year-over-year increase of 3%. EPS of $2.58 for the same period compares to $2.47 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $2.09 billion, representing a surprise of -0.46%. The company delivered an EPS surprise of +4.88%, with the consensus EPS estimate being $2.46.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall ...

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, ...

SAINT-PETERSBURG, RUSSIA - 2020/03/18: Logo of Victoria`s Secret is seen at Galeria Shopping and ... [+] Entertainment Centre. (Photo by Sergei Mikhailichenko/SOPA Images/LightRocket via Getty Images)SOPA Images/LightRocket via Getty Images Victoria’s Secret & Co. is scheduled to report earnings after Wednesday’s close. The stock hit a record high of $76/share in 2021 and is currently trading near $26 in the premarket. The stock is prone to big moves after reporting earnings and can easily gap up if the num ...

Financial Performance - The company reported fourth quarter net income of $181 million, or $2.29 per diluted share, compared to $173 million, or $2.10 per diluted share in the same quarter last year[5]. - Fourth quarter adjusted net income was $204 million, or $2.58 per diluted share, at the high-end of the guidance range[6]. - Net sales for the fourth quarter were $2.082 billion, a 3% increase from $2.021 billion in the prior year[7]. - Gross profit for the fourth quarter of 2023 was $825,841, up from $744,268 in Q4 2022[27]. - Operating income for the full year 2023 was $245,566, a significant decrease from $477,633 in 2022[29]. - Adjusted net income per diluted share for Q4 2023 was $2.58, compared to $2.47 in Q4 2022[32]. Sales and Growth - The international business saw a 24% increase in sales compared to last year, contributing to the company's growth strategy[3]. - The company plans to implement multiple initiatives to drive growth, including enhancements to customer experience and product launches[4]. - For fiscal year 2024, the company forecasts net sales to be about $6.0 billion, reflecting a low-single-digit decline compared to the previous year[15]. - The first quarter 2024 net sales are expected to decrease mid-single digits compared to last year's $1.407 billion[16]. - Comparable sales decreased by 6% in Q4 2023 and 9% for the full year compared to 2022[24]. Cash Flow and Debt Management - The company generated $589 million in operating cash flow during the fourth quarter and reduced debt by over $150 million year-over-year[1][13]. - The company announced a new $250 million share repurchase authorization to enhance shareholder value[1][14]. Store Operations - The company operated 831 stores as of February 3, 2024, down from 837 stores at the beginning of the year[25]. - Total stores increased by 85 in Q4 2023, despite 73 closures, resulting in a total of 1,370 stores[25]. - The company reported a decrease in weighted average shares outstanding from 82,299 in 2022 to 78,909 in 2023[27]. Margins and Cost Management - The fourth quarter gross margin rate exceeded expectations, driven by disciplined inventory management and cost reductions[3]. - The company recognized $18,775 in acquisition-related items for Adore Me in Q4 2023[32].

Victoria's Secret & Co. (VSCO) is scheduled to report fourth-quarter 2023 results on Mar 6. In the last reported quarter, VSCO’s earnings missed the Zacks Consensus Estimate by 7.5%.Q4 EstimatesThe Zacks Consensus Estimate for fourth-quarter earnings per share is pegged at $2.46, indicating a decline of 0.4% year over year. In the past seven days, estimate revisions have remained stable. The consensus mark for revenues is pegged at $2.09 billion, suggesting a 3.5% increase year over year.Factors to NoteIn t ...

Wall Street expects a year-over-year decline in earnings on higher revenues when Victoria's Secret (VSCO) reports results for the quarter ended January 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on March ...