Shares of Bath & Body Works were down about 3% at $17.14 in volatile premarket trading.
The company forecast a wider-than-expected third-quarter net sales decline, saying the personal care brand is seeing weak store traffic amid the early stages of its turnaround.
It expects Q3 net sales to decline between 2.5% and 5%, compared with estimates of a 2.9% drop, according to data compiled by LSEG.
It also expects third-quarter adjusted earnings per share between 7 cents and 12 cents, versus estimates of 26 cents.
Q2 sales beat estimates; full-year profit outlook raised
Bath & Body Works reported second-quarter sales of $1.51 billion, slightly above estimates of $1.50 billion.
BBWI raised its forecast for annual adjusted profit and now expects between $2.60 and $2.80 per share, compared with a prior forecast of $2.40 to $2.65 per share.
It now expects full-year net sales to decline between 2.5% and 4%, versus a previous forecast for a drop of 2.5% to 4.5%.
Excluding the benefit of about $80 million in tariff refunds during the quarter, adjusted earnings per share were 31 cents, above analysts' estimate of 24 cents.
As of the last close, BBWI was down 12.5% year to date.
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