Bath & Body Works Inc (NYSE:BBWI) shares fell almost 10% Thursday as the lifestyle retailer’s second quarter earnings fell short of expectations due to rising costs amid uncertain consumer spending, and it slashed its full-year sales guidance.
For Q2, EPS of $0.30 missed the Street consensus of $0.37.
Revenue of $1.55 billion, up 1.5% year-over-year, was in line with estimates.
The company now expects full-year net sales growth in the range of 1.5% to 2.7%, down from its previous range of 1% to 3% over 2025’s $7.31 billion.
Adjusted earnings per share (EPS) guidance for 2025 was raised at the low end to a range of $3.35 to $3.60, up from $3.25 to $3.60 previously, compared to an analyst estimate of $3.46.
“Our team delivered a solid quarter, with revenue and adjusted earnings per share at the high end of our guidance range,” Bath & Body Works CEO Daniel Heaf said in a statement.
“Based on our strong first-half results and our confidence in our outlook, we are raising the low end of our full-year adjusted earnings per share guidance range.”
For Q3, Bath & Body Works said it expects its sales to be up 1% to 3% compared to $1.61 billion in the year-ago period.
EPS was guided in the range of $0.37 to $0.45, down from $0.49 for Q3 2024.