Limited Brands Q3 Profit Beats Forecast, Raises Outlook

Limited Brand's Victoria's Secret holds its annual fashion show on CBS on Tuesday, Nov. 29. This year's fashion show will be back in New York City with world-famous Victoria's Secret Angels Miranda Kerr, Alessandra Ambrosio, Adriana Lima, Doutzen Kroes, Candice Swanepoel, Erin Heatherton, Lily Aldridge, Lindsay Ellingson and many more.

Columbus, OH—Limited Brands, parent of Victoria’s Secret and Henri Bendel, reported Wednesday that its third quarter profit was better-than-expected buoyed by improved operating margins.

For the quarter ended Oct 29, Limited Brands posted net income of $94.3 million, or 31 cents a share, down from $61.3 million, or 18 cents a share, a year ago. Excluding one-time items, the company earned 25 cents a share when analysts’ average estimate expects 24 cents a share.

The company, which also operates La Senza, a lingerie chain, kept tight reigns on costs, improving its operating margin from 7.53% to 8.60%.

Earlier this month, Limited Brands reported that its third quarter sales jumped 10% to $2.17 billion. Total comparable store sales increased 9%.

As a result of its third quarter momentum, the company once again raised its full-year forecast, though not as much as analysts had expected.

For its fourth quarter, Limited Brands expects earnings of $1.28 to $1.43 a share while analysts’ average estimate expects $1.42 a share. For its full fiscal year, Limited revised its forecast from $2.35 to $2.50 a share up to $2.38 to $2.53 a share. Analysts’ average estimate expects $1.42 a share.

 

 

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