Victoria's Secret & Co. Reports Third Quarter 2024 Results

Core Insights - Victoria's Secret & Co. reported a 7% increase in net sales for Q3 2024, reaching $1.347 billion, surpassing previous guidance of low-single digit growth [2][4] - The company raised its full-year 2024 outlook, now forecasting a net sales increase of approximately 1% to 2%, compared to prior guidance of a decline of about 1% [7] Sales Performance - Q3 sales growth was driven by mid-single digit growth in North America and over 20% growth in international markets, marking the best quarterly sales growth since 2021 [3] - Total comparable sales for Q3 2024 increased by 3%, with a notable improvement in both stores and direct sales channels [4][19] Financial Results - The company reported a net loss of $56 million, or $0.71 per share, for Q3 2024, an improvement from a net loss of $71 million, or $0.92 per share, in Q3 2023 [5][21] - Adjusted net loss for Q3 2024 was $39 million, or $0.50 per diluted share, better than the previously communicated range of $0.60 to $0.80 per share [6][25] Operational Highlights - Operating loss for Q3 2024 was $47 million, down from $67 million in the same quarter of 2023, indicating improved operational efficiency [5][21] - The company emphasized strong inventory management and cost control, contributing to improved margins compared to the previous year [3] Future Outlook - For Q4 2024, the company forecasts net sales to increase by approximately 2% to 4%, with adjusted operating income expected to be in the range of $240 million to $270 million [8][9] - The adjusted net income per diluted share for Q4 2024 is estimated to be between $2.00 and $2.30 [9] Store Operations - As of November 2, 2024, the company operated a total of 1,380 stores globally, with a net decrease of 35 stores in the U.S. [20] - The company continues to enhance its in-mall store experience and digital capabilities, driving customer engagement and sales [3]