The parent company of Victoria's Secret and Bath & Body Works credited the strength of its brands with helping it to buck the financial doldrums affecting many other retailers in the fourth quarter.
For the period ended Jan. 30, L Brands earned $636 million, or $2.15 a share, up from $564.8 million, or $1.89 a share, a year earlier. Net income increased 13% to $636.0 million, compared to $564.8 million last year. Net sales were $4.395 billion, an increase of 8%. Same-store sales increased 6%.
“We delivered record results in a year when many retailers struggled," said Leslie H. Wexner, chairman and chief executive officer. "These results are a reflection of the strength of our brands and were driven by tremendous focus and execution across the enterprise. I am very optimistic heading into 2016 and confident in our growth opportunities.”
Adjusted earnings per share for the year increased 14% to $3.99, compared to $3.50 for the year ended Jan. 31, 2015. Full-year operating income increased 12% to $2.192 billion compared to $1.953 billion last year, and adjusted net income was $1.184 billion, compared to $1.042 billion last year. Net sales for the year were $12.154 billion, an increase of 6% compared to $11.454 billion for the year ended Jan. 31, 2015. Same-store sales for the year ended Jan. 30, 2016, increased 5%.
The company currently expects 2016 full-year earnings per share to be between $3.90 and $4.10, including earnings per share between 50 cents and 55 cents in the first quarter.
L Brands, through Victoria’s Secret, PINK, Bath & Body Works, La Senza and Henri Bendel, operates 3,005 company-owned specialty stores in the United States, Canada and the United Kingdom, and its brands are sold in more than 700 additional noncompany-owned locations worldwide.