Pedestrians carrying protecting masks carry Victoria’s Secret Stores LLC buying luggage in San Francisco, California, U.S., on Wednesday, Feb. 17, 2021.
David Paul Morris | Bloomberg | Getty Images
Victoria’s Secret-owner L Brands raised its profit outlook for the primary quarter on Friday, citing a boost from authorities stimulus and from loosened Covid-related restrictions.
Its inventory jumped greater than 5.5% in early buying and selling.
The firm now expects an adjusted profit of 85 cents to $1 per share, in contrast with its earlier forecast of 55 cents to 65 cents.
L Brands, which additionally owns Bath & Body Works, mentioned it has seen “unusual shifts in consumer spending patterns,” which have led to boosted gross sales.
Still, it cautioned that the retail atmosphere “remains uncertain, and there is no assurance that these improved trends will continue.”
L Brands already raised its profit outlook for the quarter earlier this month, citing sturdy demand for Bath & Body Works and Victoria’s Secret.
The retailer’s inventory is up almost 60% 12 months to date. It has a market cap of $16.6 billion.