• Q3 net income up 25.3% to $92.0m from $73.4m
  • Net sales up 6% to $2.17bn from $2.05bn
  • Comparable store sales increased 3% 

Retailer Limited Brands, operator of the Victoria's Secret, Pink, Bath and La Senza stores, has lifted its full-year earnings guidance after booking a 25.3% jump in third-quarter profit.

The company, now known as L Brands, said it expects fourth-quarter earnings per share of between $1.67 and $1.82, including $0.02 per share in expenses related to the $500m in notes issued in October. For the year, the company expects earnings per share of $3.07 to $3.22.

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Limited Brands Reports 19% Increase In Third Quarter 2013 Earnings Per Share

- PROVIDES FOURTH QUARTER AND UPDATES FULL YEAR 2013 EARNINGS GUIDANCE -

COLUMBUS, Ohio, Nov. 20, 2013 /PRNewswire/ -- Limited Brands, Inc. (now known as L Brands, Inc.) (LTD) today reported 2013 third quarter results and increased its 2013 full-year earnings guidance.

(Logo: http://photos.prnewswire.com/prnh/20020520/CLM001LOGO)

Third Quarter Results
Earnings per share for the third quarter ended Nov. 2, 2013 increased 19% to $0.31 compared to adjusted earnings per share of $0.26 for the third quarter ended Oct. 27, 2012. 

Third quarter operating income was $211.0 million compared to adjusted operating income of $197.4 million last year, and net income was $92.0 million compared to adjusted net income of $75.6 million last year. Adjusted results in 2012 exclude certain significant items as detailed below:

  • In 2012 (totaling to a charge of $0.01 per share): 
    • A pre-tax charge of $10.4 million, or $0.04 per share, related to La Senza store closures; and
    • A pre-tax gain of $12.7 million, or $0.03 per share, from cash distributions related to the company's Easton investments.

Including the significant items above, reported 2012 third quarter earnings per share were $0.25; operating income was $186.9 million; and net income was $73.4 million.

The company reported net sales of $2.171 billion for the third quarter ended Nov. 2, 2013, an increase of 6 percent compared to net sales of $2.050 billion for the third quarter ended Oct. 27, 2012.  The company reported a comparable store sales increase of 3 percent for the 13 weeks ended Nov. 2, 2013, compared to the 13 weeks ended Nov. 3, 2012.

At the conclusion of this press release is a reconciliation of reported to adjusted results.

2013 Outlook
The company stated that it expects fourth quarter earnings of $1.67 to $1.82 per share.  For 2013, the company expects earnings per share of $3.07 to $3.22.  The fourth quarter projection includes incremental interest expense of approximately $0.02 per share related to the $500 million notes issued in October, which was not included in the company's previous forecast.

ABOUT LIMITED BRANDS:

Limited Brands, through Victoria's Secret, Pink, Bath & Body Works, La Senza and Henri Bendel, is an international company.  The company operates 2,655 specialty stores in the United States and its brands are sold in about 800 company-operated and franchised additional locations world-wide.  The company's products are also available online at www.VictoriasSecret.comwww.BathandBodyWorks.comwww.HenriBendel.com and www.LaSenza.com.

 

Original source: www.Limitedbrands.com