Financial Performance - In Q2 2024, operating income increased by $36 million to $62 million, with an operating income rate of 4.4%, up from 1.8% in Q2 2023[65]. - Net sales decreased by $10 million, or 1%, to $1.417 billion compared to $1.427 billion in Q2 2023, with comparable sales down 3%[65]. - Adjusted operating income for Q2 2024 was $62 million, compared to $49 million in Q2 2023[69]. - Reported net income per diluted share was $0.40 in Q2 2024, compared to a loss of $0.02 in Q2 2023[70]. - Gross profit for Q2 2024 increased by $14 million to $501 million, with a gross profit rate of 35.4%, up from 34.1% in Q2 2023[82]. - Year-to-date 2024 net sales decreased by $57 million, or 2%, to $2.777 billion compared to $2.834 billion in year-to-date 2023[87]. - Year-to-date gross profit increased by $14 million to $1.003 billion, with a gross profit rate of 36.1%, up from 34.9% in year-to-date 2023[88]. Sales and Store Performance - North American store sales decreased by 2%, or $17 million, to $800 million compared to $817 million in Q2 2023[65]. - Direct channel sales decreased by 1%, or $4 million, to $430 million compared to $434 million in Q2 2023[65]. - Sales per average selling square foot decreased by 1% to $137 in Q2 2024, while year-to-date sales per average store decreased by 3% to $1,804[73]. - North America net sales in Q2 2024 decreased by $17 million, or 2%, to $800 million, while international net sales increased by $11 million, or 6%, to $187 million[81]. - North America year-to-date net sales decreased by $74 million, or 5%, to $1.529 billion, while international net sales increased by $36 million, or 11%, to $369 million[87]. Expenses and Income - General, administrative, and store operating expenses decreased by $22 million, or 5%, to $439 million in Q2 2024[84]. - Interest expense for year-to-date 2024 decreased by $3 million to $43 million compared to year-to-date 2023[90]. - The effective tax rate for year-to-date 2024 was 35.9%, down from 62.0% in year-to-date 2023[92]. - Net cash provided by operating activities for year-to-date 2024 was $1 million, a decrease of $18 million compared to year-to-date 2023, primarily due to an increase in net income of $27 million[99]. Capital Expenditures and Debt - Capital expenditures for year-to-date 2024 were $99 million, with an estimated total of approximately $200 million for fiscal year 2024, focusing on store capital programs and technology investments[100][101]. - Total long-term debt as of August 3, 2024, was $1,119 million, a decrease from $1,270 million as of July 29, 2023[107]. - The company entered into a Term Loan B credit facility of $400 million, maturing in August 2028, with quarterly principal payments of 0.25% starting December 2021[108]. - The company has a senior secured asset-based revolving credit facility (ABL Facility) with commitments of $750 million, expiring in August 2026, and outstanding borrowings of $145 million as of August 3, 2024[110]. Cash Flow and Liquidity - Cash and cash equivalents at the end of the period on August 3, 2024, were $169 million, compared to $131 million at the end of year-to-date 2023[98]. - The company has $483 million available under the ABL Facility as of August 3, 2024, an increase from $254 million as of July 29, 2023[96]. - Net cash used for investing activities year-to-date 2024 was $83 million, compared to $143 million in year-to-date 2023[100][101]. - The company believes its available short-term and long-term capital resources are sufficient to fund working capital and cash flow requirements over the next 12 months[93]. Strategic Initiatives - The company continues to focus on three strategic priorities: Accelerate Our Core, Ignite Growth, and Transform the Foundation[65]. - The financial impact of the Adore Me acquisition included pre-tax income of $5 million in Q2 2024, compared to a pre-tax expense of $18 million in Q2 2023[70]. - The company expects to utilize cash flows to invest in brands, talent, and strategic initiatives while repaying indebtedness over time[93]. - The March 2024 Share Repurchase Program authorized the repurchase of up to $250 million of common stock, with no shares repurchased year-to-date 2024[104]. Compliance and Ratings - The company is in compliance with all covenants under its long-term debt and borrowing facilities as of August 3, 2024[110]. - The company's credit ratings as of August 3, 2024, include Ba3 from Moody's for corporate rating and Ba2 from Moody's for senior secured debt[111].

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades. Even though momentum is a popular stock cha ...

Victoria's Secret & Co. (VSCO) stock recently made a comeback despite registering a 10.5% decline in the past six months. VSCO has rallied 37.4% compared with the industry's 12.8% rise and the S&P 500's 8.7% increase in the past month. The upside signals a potential turnaround, capturing investors' attention and positioning VSCO as a stock to watch closely. As of Friday, the stock closed at $23.46, below its 52-week high of $30.80 but above its 52-week low of $13.62. It also underperformed other industry pl ...

Earnings beat analyst estimates, but investors were still discouraged by overall declines. Shares of Victoria's Secret (VSCO -3.70%) were falling on Thursday, down as much as 9.6% in early trading before recovering to a 3.4% decline as of 2:37 p.m. ET. While the apparel giant delivered revenue and earnings above expectations for the second quarter last night, the company is still seeing declines across most of its business. And with the stock having popped earlier this month on news of the appointment a new ...

Victoria's Secret & Co. (VSCO) posted decent second-quarter fiscal 2024 results, with the top and the bottom line surpassing the Zacks Consensus Estimate. Earnings beat the consensus estimate for the third straight quarter. Victoria's Secret posted positive business trends in North America in the third quarter, with encouraging early feedback on fall assortments for Victoria's Secret and PINK brands. The beauty segment performed well, driving customer traffic to stores. Going forward, the company emphasized ...

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Victoria's Secret & Co. (NYSE:VSCO) Q2 2024 Earnings Conference Call August 29, 2024 8:00 AM ET Company Participants Kevin Wynk - VP, External Financial Reporting & IR Tim Johnson - Interim CEO & CFO Conference Call Participants Ike Boruchow - Wells Fargo Alex Straton - Morgan Stanley Corey Tarlowe - Jefferies Brooke Roach - Goldman Sachs Mauricio Serna - UBS Simeon Siegel - BMO Capital Markets Jonna Kim - TD Cowen Operator Good morning. My name is Amanda, and I will be your conference operator today. At th ...

Victoria's Secret (VSCO) reported $1.42 billion in revenue for the quarter ended July 2024, representing a yearover-year decline of 0.7%. EPS of $0.40 for the same period compares to $0.24 a year ago. The reported revenue compares to the Zacks Consensus Estimate of $1.41 billion, representing a surprise of +0.44%. The company delivered an EPS surprise of +5.26%, with the consensus EPS estimate being $0.38. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall ...

Victoria's Secret (VSCO) came out with quarterly earnings of $0.40 per share, beating the Zacks Consensus Estimate of $0.38 per share. This compares to earnings of $0.24 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 5.26%. A quarter ago, it was expected that this retailer of lingerie, pajamas and beauty products would post earnings of $0.11 per share when it actually produced earnings of $0.12, delivering a surprise of 9.09 ...

Victoria's Secret & Co.'s stock was up 3.6% in extended trading Wednesday after the intimate-apparel company swung to a profit in its second-quarter results and raised its 2024 sales outlook, boosted by North American sales. The company reported net income of $32 million, or 40 cents a share, after a net loss of $1 million, or a loss of 2 cents a share, in the prior year's quarter. On an adjusted basis, earnings were 40 cents a share, above the FactSet analyst consensus of 37 cents a share. ...