Bath & Body Works(BBWI) - 2025 Q4 - Annual Results

Financial Performance - Fourth quarter 2024 net sales were $2,788 million, a decrease of 4.3% from $2,912 million in the fourth quarter of 2023[3] - Fourth quarter 2024 earnings per diluted share were $2.09, down from $2.55 in the same quarter last year[4] - Full-year 2024 net sales decreased 1.6% to $7,307 million compared to $7,429 million in 2023[6] - Full-year 2024 earnings per diluted share were $3.61, compared to $3.84 in 2023[7] - Net income for the full year 2024 was $798 million, down from $878 million in 2023, representing a decrease of 9.1%[25] - The company reported a net cash provided by operating activities of $886 million for 2024, down from $954 million in 2023, a decline of 7.1%[25] Future Projections - The company expects 2025 net sales growth of 1% to 3% compared to $7,307 million in 2024[12] - Full-year 2025 earnings per diluted share is projected to be between $3.25 and $3.60[12] - First quarter 2025 net sales are expected to grow between 1% to 3% compared to $1,384 million in the first quarter of 2024[13] - The company anticipates generating free cash flow of $750 to $850 million in fiscal 2025[12] - Forecasted free cash flow for 2025 is estimated to be between $750 million and $850 million[29] Share Repurchase and Equity - The company repurchased 10.4 million shares for $400 million in fiscal 2024[7] - A new $500 million share repurchase program has been authorized by the Board of Directors[8] - The company repurchased $401 million of common stock in 2024, compared to $148 million in 2023, an increase of 170.3%[25] - Total equity (deficit) improved from $(1,626) million in 2024 to $(1,383) million in 2025, a positive change of approximately 15%[23] Operational Metrics - Total assets decreased from $5,463 million in 2024 to $4,872 million in 2025, a decline of approximately 10.8%[23] - The total number of company-operated stores increased from 1,850 in 2024 to 1,895 in 2025, reflecting a net increase of 45 stores[39] - The debt leverage ratio improved from 2.8 in 2023 to 2.5 in 2024, indicating a stronger capital structure[27] - Direct sales in the U.S. and Canada decreased by 9.4% in the fourth quarter of 2024, totaling $595 million compared to $656 million in the same quarter of 2023[37]