(Filed Under wholesale Lingerie News). Victoria’s Secret and Pink comparable store sales in North America rose by 4% in June, ending a two month slide in which stores sales fell 3% in April and 2% in May. When the direct business for the two brands is combined with the stores, June sales were up 6% over the same month last year.
Meanwhile, parent company L Brands “reported net sales increased 7% to $1.296 billion for the five weeks ended July 2, 2016, compared to net sales of $1.207 billion for the five weeks ended July 4, 2015. Comparable sales for the five weeks ended July 2, 2016, increased 6%.” L Brands, which also includes Bath & Body Works, La Senza and Henri Bendel, now operates “3,038 company-owned specialty stores in the United States, Canada, the United Kingdom and Greater China, and its brands are sold in more than 700 additional franchised locations worldwide.”
In explaining the June results for Victoria’s Secret and Pink, Amie Preston, chief investor relations officer stated “Semi-annual sale strength, particularly in the Pink and core lingerie business, was partially offset by softness in the non-core categories of swim and apparel. The merchandise margin rate was down significantly to last year primarily due to increased penetration of clearance selling related to the semi-annual sale and a decline in beauty as we reposition this category.”
“June was focused on semi-annual sale. As we transition out of semi-annual sale in July, we will focus on new fashion in our Body by Victoria collection featuring our new lounge bra. In Pink, we will focus on our Wear-Everywhere Bras.” (The latest “Twist-front Lounge Bra” currently sells for $42.50 on the Victoria’s Secret website. The newest “Wear Everywhere Super Push-Up” retails for $32.95 or two for $46).
Looking ahead, Preston noted that L Brands overall expects “July comps to be flat to down low-single digit.”
Since January 30th of this year, L Brands has opened six and closed four Victoria’s Secret stores, raising the total as of July 2 to 992. During the same period the company has opened two Pink stores, raising the total to 130, and closed one La Senza store in Canada, dropping the total there to 125.
L Brands overall “reported net sales of $4.727 billion for the 22 weeks ended July 2, 2016, an increase of 5% compared to net sales of $4.518 billion for the 22 weeks ended July 4, 2015. Comparable sales for the 22 weeks ended July 2, 2016, increased 3%.”
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