Bath & Body Works Projects Downbeat FY Sales, Profit on Slowing Demand

Tub & Physique Works forecast annual gross sales and revenue under analysts’ expectations on Thursday as shoppers scaled again spending on non-essential gadgets like candles and fragrances, sending its shares down 9 % in pre-market buying and selling.

Amid excessive borrowing and rental prices within the US, specialty retailers together with Estee Lauder and Macy’s noticed consumers proscribing discretionary spending, and have revised their annual outcomes under Wall Avenue expectations.

Shopper costs rose greater than anticipated in January, whereas US authorities studies indicated a ten-month low in retail gross sales.

The wonder and skincare agency expects 2024 annual internet gross sales to vary between a decline of three % to flat in contrast with analysts’ expectations of a 1.3 % rise, as per LSEG knowledge

The corporate forecasts annual adjusted earnings to vary between $3.00 and $3.35 per diluted share, in contrast with analysts’ estimates of $3.35.

The Ohio-based firm posted quarterly gross sales of $2.91 billion, whereas analysts on common anticipated $2.84 billion, in response to LSEG.

By Annett Mary Manoj; Modifying by Vijay Kishore

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Third Point Plans Proxy Contest at Bath & Body Works

Tub & Physique Works stated in an announcement late on Wednesday, “The Board strongly disagrees with the views expressed in Third Level’s letter.” Nevertheless, it stated it will evaluation and contemplate Third Level’s proposed board nominations.