Globenewswire·2026-01-15 18:08Core Viewpoint - A class action lawsuit has been filed against Bath & Body Works, Inc. for failing to disclose critical information regarding its business strategy and financial performance during the class period from June 4, 2024, to November 19, 2025 [2][6]. Allegation Details - The lawsuit alleges that Bath & Body Works did not disclose that its strategy of pursuing "adjacencies, collaborations and promotions" was ineffective in growing its customer base and did not deliver the expected growth in net sales [6]. - It is claimed that as the strategy faltered, the company relied on brand collaborations to mask weak financial results and was unlikely to meet its previously issued financial guidance [6]. - On November 20, 2025, the company reported disappointing third-quarter results, with a 1% year-over-year revenue decline, missing the guidance of 1-3% growth, and a 26% drop in net income to $77 million [6]. Financial Performance - Bath & Body Works reduced its full-year guidance for net sales and cut expected earnings per diluted share from $3.28 to "at least $2.83" [6]. - Following the announcement of its underperformance and new business strategy, the stock price fell by $5.22, or 24.8%, closing at $15.82 per share on November 20, 2025 [6]. Next Steps - Investors who purchased Bath & Body Works shares and suffered losses are encouraged to contact the law firm Bragar Eagel & Squire for more information regarding their rights and potential claims [4].