(Filed Under wholesale Lingerie News). Victoria’s Secret and Pink combined store and direct comparable sales in North America fell 7% in August. The poor results at its lingerie division brought about a comparable sales decline of 4% for parent company L Brands.
“Victoria’s Secret August comparable sales were down” to last year, according to Amie Preston, chief investor relations, because “growth in the Pink business was more than offset by about a three point negative impact of exiting swim and apparel and a decline in the lingerie business.”
She added that for the two lingerie brands, “The merchandise margin rate was up to last year, driven by lower clearance and promotions this year. The beginning of September will continue to focus on the Sexy Illusions collection and will transition to the Pink Wear Everywhere bra later in the month.”
Overall, L Brands, which also owns Bath & Body Works, La Senza lingerie and Henri Bendel, “reported net sales of $842.1 million for the four weeks ended Aug. 26, 2017,” compared to “net sales of $852.9 million for the four weeks ended Aug. 27, 2016.”
While L Brands has reported plummeting sales for its lingerie division during the past year, the poor results have not resulted in a net decrease in the overall number of stores according to a recent company chart comparing the counts as of July 29, 2017 and July 30, 2016. In the U.S., L Brands reported the number of Victoria’s Secret stores has risen by one to 994 and the number of Pink stores has risen by 4 to 134. It also opened its first four La Senza stores in the U.S. during the year. Meanwhile in Canada it reported the number of Victoria’s Secret stores has risen by 2 to 39, the number of Pink stores had declined by 2 to 7, and the number of La Senza stores has declined by 4 to 121.
During the same time period, La Brands has added three Victoria’s Secret stores in the U.K., raising the total to 16; opened its first two full line stores in China; and opened two additional Victoria’s Secret Beauty and Accessories stores that country, raising the total to 30.
In concluding her remarks on the August sales results, Preston noted, “We expect September total company comps to be down low single digits, which includes a negative impact from the exit of swim and apparel of about 2 points.” — NM
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