L Brands, Inc.
) posted comparable-store sales of 3% for the four-week period
ended Aug 3, 2013 that came better than analysts' expectations.
This specialty retailer of women's intimate and other apparel,
beauty and personal care products showcased a 4.4% rise in net
sales of $678.4 million from $649.8 million in the prior-year
Buoyed by stronger-than-expected comps results, management now
anticipates second-quarter fiscal 2013 earnings to come in at 60
cents a share, up from a range of 50 cents to 55 cents forecasted
earlier. The current Zacks Consensus Estimate for the quarter
dovetails with the company's upgraded guidance.
Besides Limited Brands, other retail chains that posted
comparable-store sales data for the month of July include
The Gap, Inc.
) that registered comps growth of 1%, off-price retailer of
apparels, footwear and accessories
Stein Mart Inc.
) delivered comparable-store sales growth of 3.7%, while discount
) registered a 2.5% rise in comps.
July revealed mixed comparable-store sales results for
retailers, who tried every means to lure budget-conscious
customers with discounts being their major weapon. Going forward,
analysts believe that the back to school season, the important
season before the holidays, may be a tough one for retailers. A
recent Conference Board data suggested that Consumer Confidence
Index fell to 80.3 in Jul 2013 from 82.1 in Jun 2013.
Coming to Limited Brands, comparable-store sales for July rose
2% at Victoria's Secret Stores & Victoria's Secret Beauty, 6%
at Bath & Body Works & The White Barn Candle Co. and 9%
at La Senza. Sales dipped 11% at Victoria's Secret Direct.
Management now projects total comparable-store sales to rise in
the low single-digits for the month of August.
For the twenty-six week period ended Aug 3, 2013,
comparable-store sales increased 2%, whereas net sales rose 5% to
$4,784 million from $4,553 million in the year-ago period. Comps
for the second quarter grew 2%, while net sales climbed 5% to
$2,516 million from $2,399 million in the prior-year quarter.
Limited Brands, which holds a Zacks Rank #2 (Buy) and operates
2,892 stores, also declared a quarterly dividend of 30 cents a
share to be paid on Sep 6, 2013, to stakeholders of record as of
Aug 23, 2013.
FREDS INC (FRED): Free Stock Analysis Report
GAP INC (GPS): Free Stock Analysis Report
L BRANDS INC (LTD): Free Stock Analysis
STEIN MART INC (SMRT): Free Stock Analysis
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