Bath & Body Works on Tuesday reported second-quarter earnings that substantially exceeded analyst forecasts, prompting the retailer to raise its full-year outlook. The company posted adjusted earnings per share of $0.62, more than double the $0.24 consensus estimate, while revenue totaled $1.5 billion, roughly in line with expectations.
The Columbus, Ohio-based company also provided third-quarter guidance, forecasting a 2.5% to 5% decline in net sales from $1.59 billion in the same period a year earlier. Adjusted diluted EPS for the quarter is expected in a range of $0.07 to $0.12, well below the $0.26 consensus.
For the full year, Bath & Body Works narrowed its net sales decline outlook to 2.5% to 4%, compared with $7.29 billion in fiscal 2025. Adjusted EPS guidance was raised to $2.60 to $2.80 from the prior range of $2.40 to $2.65, surpassing the $2.65 consensus estimate.
CEO Daniel Heaf noted that second-quarter results surpassed sales and earnings guidance, adding that underlying business trends remain pressured despite signs of improvement. He highlighted the first direct net sales growth since 2021, attributing the progress to investments in the Consumer First Formula, which is enhancing the shopping experience and resonating with consumers.
