Victoria's Secret Q1 sales jump 15% to $1.56B, raises full-year outlook

Victoria's Secret & Co. reported Q1 net sales of $1.56 billion, up 15% and above guidance, as comparable sales rose 13%.

"We delivered a very strong start to 2026, exceeding top- and bottom-line guidance and continuing the momentum we built in the back half of last year," Chief Executive Officer Hillary Super said.

Adjusted operating income reached $80 million, more than double the $32 million in the year-ago period and well above the company's $32 million to $42 million guidance range. Adjusted earnings per share of $0.60 compared with $0.09 a year earlier, beating the $0.20 to $0.30 forecast. International sales surged 44.9 percent to $287.4 million, while North America stores grew 11.3 percent to $802.8 million.

The results mark the fourth consecutive quarter of positive comparable sales for the retailer, which has been executing a turnaround under its Path to Potential strategy. The company raised its full-year net sales forecast to $7.03 billion to $7.13 billion from a prior range of $6.85 billion to $6.95 billion.

The Reynoldsburg, Ohio-based company repurchased 2.2 million shares for $100 million during the quarter at an average price of $45.27, leaving $150 million remaining under its buyback authorization.

Chief Financial and Operating Officer Scott Sekella attributed the margin improvement to higher regular-price selling and reduced promotions, which offset tariff headwinds. Gross margin expanded as the company leveraged buying and occupancy expenses.

For the second quarter, Victoria's Secret forecast net sales of $1.59 billion to $1.615 billion, up from $1.459 billion a year earlier, with operating income of $90 million to $100 million.

The guidance raise indicates management expects the turnaround to sustain momentum through 2026. Investors will watch the company's ability to maintain regular-price selling and margin expansion as tariff pressures persist.

This article is for informational purposes only and does not constitute investment advice.