Limited Brands profit plummets in Q2, raises guidance
Columbus, Ohio — Limited Brands reported Wednesday that net income in the second quarter dropped 38% to $143.6 million, from $231.2 million in the year-ago period.
The owner of Victoria’s Secret, Bath & Body Works and La Senza saw revenue slip 2% in the quarter to $2.4 billion, meeting Wall Street expectations. Same-store sales grew 8%.
The company also raised its earnings guidance for the year, although it expects a weak third quarter.
Dollar Tree Q2 profit surges 26%
Chesapeake, Va. — Dollar Tree Inc. reported Thursday that profit for the quarter ended July 28 soared 26% to $119.2 million, compared with $94.9 million in the year-ago period.
Sales rose 10.5% to $1.7 billion, just missing Wall Street’s expected $1.71 billion. Same-store sales grew 4.5%.
However, the company’s outlook fell short of Wall Street expectations, saying that it expects revenue between $1.71 billion and $1.75 billion in the third quarter while Wall Street expects $1.77 billion.
Sears narrows loss in Q2; sales continue falling
Hoffman Estates, Ill. — Sears Holding Corp. reported Thursday a loss of $132 million for the quarter ended July 28, narrowed from a loss of $146 million in the year-ago period. The retailer cited expense cutting and reduced inventory for the performance improvement.
The company’s adjusted results met analysts’ forecasts but revenue missed on falling sales at Sears and Kmart stores. Sales dropped 7% to $9.47 billion, missing Wall Street’s $9.68 billion forecast. Same-store sales at U.S. Sears stores fell 2.9%, and at Kmart stores they fell 4.7%.
Sears Canada same-store sales dropped 7.1%. Partial spin-off of Sears Holding’s interest in the Canada division is slated to close in the second half of the year.