L Brands Boosts Earnings View as January Same-Store Sales Top Expectations

   By Anna Prior 
 

L Brands Inc. (LB) lifted its earnings guidance for the fiscal fourth quarter as the retailer reported same-store sales for January that easily topped expectations.

The retailer, which operates the Victoria's Secret and Bath & Body Works chains, dominates the intimate-apparel and personal-care markets, though growth for the company's major store formats in the first half of the latest fiscal year slowed from year-earlier levels.

The company, formerly called Limited Brands Inc., now expects earnings slightly above its previous guidance of $1.60 a share for the quarter ended Feb. 1.

L Brands in January had cut its view from November's downbeat projection of $1.67 to $1.82 a share. Net sales for the quarter came in at $3.82 billion, just missing the consensus view of $3.89 billion.

L Brands also reported same-store sales for January that topped expectations, with a rise of 9% versus the consensus of 0.5%. The growth was led by a 10% jump in same-store sales for Victoria's Secret--expectations were for a 0.5% increase.

Shares, which ended Wednesday at $51.79, were inactive premarket. Through the close, the stock has risen 9.6% in the last 12 months.

Write to Anna Prior at [e-mail]

Subscribe to WSJ: http://online.wsj.com?mod=djnwires