Victoria Secret’s parent company suffers slump in sales

Victoria's secretDevon Windsor walks the runway during the 2016 Victoria’s Secret Fashion Show. Photo by Dimitrios Kambouris/Getty.

L Brands Inc., whose portfolio includes Victoria’s Secret, has reported a 6% decline in June sales to $1.21bn (£934m).

The company posted net sales of $4.4bn (£3.4bn) for the 22 weeks ending July 1, 2017, a decrease of 6% compared to the 22 weeks ending July 2, 2016, which totalled $4.727bn (£3.6bn).

Comparable sales for the 22 weeks ended July 1, 2017, saw a decrease 9%. The exit of the swim and apparel categories had a negative impact of about 7 percentage points and 10 percentage points to total company and Victoria’s Secret comparable sales, respectively.

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Within the brands it manages, there have been notable lulls. Victoria’s Secret’s year-to-date sales have fallen 15% whilst 2016’s year-to-date for June only showed a 2% decrease.

The company, which manages PINK, Bath & Body Works, La Senza and Henri Bendel as well as Victoria’s Secret, faces a hit in sales following a category withdrawal this year.

Earlier this year the parent company faced another financial slump following the design to withdraw swimwear. It recorded a decline in sales for March, driven by the decision to exit its swimwear business.

Like-for-like sales at Victoria’s Secret fell 13% in the five weeks to April 1, after falling 16% in February.

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