Victoria's Secret customers are buying bras online ... and that's a problem

Victoria's Secret customers are shopping online, but it's not doing the company much good.The intimate apparel...

Posted: May 24, 2018 8:49 AM
Updated: May 24, 2018 8:49 AM

Victoria's Secret customers are shopping online, but it's not doing the company much good.

The intimate apparel chain's parent company, L Brands, reported on Wednesday that Victoria's Secret sales ticked up just 1% in the the first quarter of the year. Excluding online transactions, sales fell by 5%.

The brand, which stopped printing its catalog in 2016, has been trying to convince customers to go digital. Though the sales numbers show that it's working, it's spending a lot of money to get customers to make the transition.

L Brands slashed its earnings-per-share forecast for the rest of the year by more than 8%. First quarter profit plummeted by nearly half.

The news spooked investors. Shares of the company fell as much as 7% after the bell on Wednesday. This year, L Brand's stock has tanked 44%.

Related: Victoria's Secret owner is the S&P 500's worst stock

Still, Victoria's Secret sales performed better in the first quarter of 2018 than in the same period last year, when overall sales slumped 14%. And Bath & Body Works grew by 8% this quarter.

Victoria's Secret is facing steep competition from American Eagle Outfitters' Aerie, Gap's Love brand, and Amazon, which sells inexpensive bras and nightgowns under the Arabella brand.

- CNN's Paul R. La Monica contributed to this report.

Article Comments

West Lafayette
Overcast
67° wxIcon
Hi: 69° Lo: 59°
Feels Like: 67°
Kokomo
Overcast
64° wxIcon
Hi: 64° Lo: 56°
Feels Like: 64°
Rensselaer
Scattered Clouds
63° wxIcon
Hi: 65° Lo: 56°
Feels Like: 63°
Fowler
Scattered Clouds
63° wxIcon
Hi: 66° Lo: 57°
Feels Like: 63°
Williamsport
Overcast
65° wxIcon
Hi: 67° Lo: 58°
Feels Like: 65°
Crawfordsville
Overcast
63° wxIcon
Hi: 67° Lo: 58°
Feels Like: 63°
Frankfort
Overcast
67° wxIcon
Hi: 67° Lo: 57°
Feels Like: 67°
Delphi
Broken Clouds
64° wxIcon
Hi: 67° Lo: 57°
Feels Like: 64°
Monticello
Broken Clouds
64° wxIcon
Hi: 67° Lo: 56°
Feels Like: 64°
Logansport
Broken Clouds
64° wxIcon
Hi: 65° Lo: 55°
Feels Like: 64°
Warmer Temps and Multiple Rounds of Rain Ahead
WLFI Radar
WLFI Temps
WLFI Planner

COVID-19 Important links and resources

As the spread of COVID-19, or as it's more commonly known as the coronavirus continues, this page will serve as your one-stop for the resources you need to stay informed and to keep you and your family safe. CLICK HERE

Closings related to the prevention of the COVID-19 can be found on our Closings page.

Community Events