Victoria’s Secret Q4 EPS $2.77 Beats Guidance as Sales Grow 7.8%
Victoria’s Secret & Co. reported Q4 adjusted EPS of $2.77, beating guidance of $2.20–$2.45, with net sales up 7.8% to $2.27 billion, comparable sales rising 8%. Management forecasts fiscal 2026 net sales of $6.85–$6.95 billion and EPS of $3.20–$3.45 despite $40 million in net tariff headwinds.
1. Q4 Earnings Exceed Guidance
Victoria’s Secret reported adjusted Q4 earnings of $2.77 per share, surpassing its guidance range of $2.20–$2.45 and up from $2.60 a year earlier. Net sales rose 7.8% to $2.27 billion, driven by an 8% increase in comparable sales, while adjusted operating income climbed 5.5% to $315.8 million.
2. Regional and Channel Performance
In North America, store sales climbed 5.2% to $1.22 billion, while direct channel net sales grew 2.8% to $773.2 million. International sales jumped 43.1% to $276.4 million, reflecting expanded European operations and continued global expansion.
3. Fiscal 2026 Guidance and Tariff Impact
For fiscal 2026, management forecasts net sales of $6.85–$6.95 billion and adjusted EPS of $3.20–$3.45, up from $3.00 last year. Estimated net tariff costs of $40 million are expected, with mitigation planned through sourcing diversification, vendor cost optimization, freight mix efficiency and strategic pricing.