Bath & Body Works Q1 EPS $0.32, Sales $1.38B Beat Estimates, Stock Up 14%
BBWI•Bath & Body Works delivered first-quarter adjusted EPS of $0.32, topping forecasts by $0.03 on net sales of $1.38 billion versus $1.36 billion estimates, driving a 14% premarket stock jump. The company upheld full-year 2026 guidance and disclosed CFO Eva Boratto’s June departure.
1. Strong First-Quarter Performance
Bath & Body Works reported Q1 net sales of $1.38 billion, exceeding the $1.36 billion consensus, and delivered adjusted EPS of $0.32 versus $0.29 forecast. The unexpected beat propelled the stock 14% higher in premarket trading.
2. Income Statement Details
On a reported basis, EPS reached $0.90 compared with $0.49 a year ago, as net income rose to $183 million from $105 million. Results included an $88 million litigation settlement gain, a $62 million tax benefit, and $8 million in transformation costs.
3. Steady Full-Year Outlook
Management maintained its full-year 2026 guidance, forecasting net sales to decline 4.5%–2.5% from $7.29 billion in fiscal 2025 and projecting adjusted EPS of $2.40–$2.65 with approximately $600 million in free cash flow, excluding share repurchases and tariff refunds.
4. CFO Transition
CFO Eva Boratto will step down on June 12, and long-time executive Tom Javitch will serve as interim CFO. A search for a permanent successor is underway while ensuring continuity in financial leadership.
