On Wednesday, Victoria’s Secret’s Parent company, L Brands, reported a revenue for the first quarter that was above the expected estimates made by analysts.
The company’s stock in extended training was previously down over 1%. This growth in revenue according to the report is due to the increase in the number of people paying the full price of its products.
An overview of how the company faired in the first quarter ending May 1st is as below:
- Earnings per share – Earned $1.25; Estimate of $1.21
- Revenue – Earned $3.02 billion; Estimated of $3.01 billion
The total revenue of the company jumped to over 80% in comparison to last year’s reported revenue of $1.65 billion.
L Brands estimated that the payment from Bath and Body Works of $50 million and Victoria’s Secret of $75 million, boosted its sales to about $125 million.
The company said, “We are beginning to tell the story of our brand repositioning through our marketing”, as reported on Wednesday.
It said that their customers have been “responding positively” to their marketing and new products.
L Brand has estimated its earnings per share for the second quarter to come in between 80 cents to $1.
The company predicts their revenue for the same to go up by 10% to 15% in comparison to its 2019 reports.
After the market closed on Wednesday, L Brands shares were recorded as up to about 82% year to date and their market is capped at $18.8 billion.