While Victoria's Secret celebrated its annual fashion show on Thursday, Ohio-based Columbus, L Brands, Inc., a parent company, reported that poor underwear results continued to undermine strong sales growth in October.
Total net sales of L Brand in October were $ 860.5 million (about € 758 million), which was 8% more than $ 794.1 million (about € 700 million) in the same month of the previous year. Comparative sales in this period of 4 weeks increased by 4%.
However, the comparable sales of Victoria's Secret remained unchanged and had an impressive 11% growth in L Brand's Bath & Body Works sales.
The company also announced that sales in the third quarter ended 3 November 2018 amounted to 2,775 million dollars (about 2446 million euros), an increase of 6% compared to the previous 2618 million euros (about 2308 million euros) reflecting a comparable increase sales of 4%.
Victoria's Secret sales amounted to $ 1,529 million ($ 1348 million), which resulted in a 2% drop in comparable sales, while a 13% sales increase in comparable sales increased sales of Bath & Body Works to $ 956.2 million.
Until now, the company's total sales rose by 7% to $ 8,385 million (around 7,392 million euros), compared to $ 7,809 million (around € 6884 million) in the same period of nine months the previous year, an increase of 3% . Once again, a comparable 1% drop in Victoria's Secret partially drags 3% growth compared to Bath & Body Works.
In light of the latest sales results, L Brands expect to announce a loss of $ 0.17 per share in the third quarter. This includes an advance of approximately $ 20 million after Henri Bendel's closure, as well as the depreciation of non-monetary assets of $ 80 million (about € 70 million) before tax on certain assets of the company. Victoria Secret
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