L Brands net sales up 5%, will cut 200 jobs at Victoria’s Secret
Staff writer ▼ | April 7, 2016
L Brands reported net sales increased 5% to $1.027 billion for the five weeks ended April 2, 2016, compared to net sales of $981.2 million for the five weeks ended April 4, 2015.Article continues below
Comparable sales for the five weeks ended April 2, 2016, increased 3% and were negatively impacted by the earlier Easter this year by approximately 1 to 2 points.
The company reported net sales of $1.876 billion for the nine weeks ended April 2, 2016, an increase of 5% compared to sales of $1.787 billion for the nine weeks ended April 4, 2015.
Comparable sales for the nine weeks ended April 2, 2016, increased 4%.
The company also announced changes at Victoria’s Secret designed to further focus the brand on its core merchandise categories and streamline operations.
These actions include:
- Restructuring the organization into three business units: Victoria’s Secret Lingerie, PINK and Victoria’s Secret Beauty. The leaders of these business units will continue to report directly to Leslie H. Wexner, chairman and CEO.
- Integrating the direct business as a primarily digital channel within the Victoria’s Secret and PINK businesses to align with how customers engage with the brands.
- Focusing resources on core merchandise categories, where the company believes the greatest growth potential exists. This will involve the elimination of certain merchandise categories.
- Evolving how the business connects with customers through more focus on loyalty programs and brand-building engagement rather than traditional catalogues and offers.
- Streamlining the organization through the elimination of approximately 200 Columbus and New York home office associates. ■ What to read next
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