Bath & Body Works' Q2 Bottomline Beats Reflecting Cost Optimization & Margin Improvement Initiatives
Portfolio Pulse from Shivani Kumaresan
Bath & Body Works Inc (NYSE:BBWI) reported a Q2 FY23 sales decline of 3.6% YoY to $1.56 billion, missing the analyst consensus of $1.57 billion. Revenue from the U.S. and Canada stores decreased 1% YoY, International stores fell 4%, and Direct sales declined 10%. However, the company's adjusted EPS of $0.40 beat the analyst consensus of $0.33. The company sees Q3 FY23 EPS of $0.30-$0.40 and expects Q3 sales to decline 2.5% - 4%. It raised FY23 adjusted EPS guidance from $2.68 - $3.08 to $2.80 - $3.10.
August 23, 2023 | 3:37 pm
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Bath & Body Works reported a decline in Q2 FY23 sales but beat the analyst consensus for adjusted EPS. The company also raised its FY23 adjusted EPS guidance.
Despite the decline in sales, Bath & Body Works managed to beat the analyst consensus for adjusted EPS, which is a positive sign. The company also raised its FY23 adjusted EPS guidance, indicating confidence in its future performance. This could potentially have a positive impact on the company's stock price in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100