Breaking News
Investing Pro 0
NEW! Get Actionable Insights with InvestingPro+ Try 7 Days Free

L Brands Stages Comeback on Pampering as Estee Lauder Misses the Boat

Stock Markets Aug 20, 2020 10:22AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.
 
EL
-1.57%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
BBWI
-3.06%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

By Christiana Sciaudone

Investing.com --  When trapped at home for months, it's not lingerie or makeup we're looking for. Show us the body scrub.

L Brands (NYSE:LB) posted a profit that smashed expectations of a loss per share, with sales also beating the forecast thanks to its Bath & Body Works brand. Shares are rallying, up 5.5%, even as the rest of the market shudders under increasing unemployment numbers.

The stock is trading at the highest level in more than two years. 

L Brands earnings per share of 25 cents came in above the expected 39-cent loss, on sales of $2.32 billion, versus the estimated $2.18 billion.Bath & Body Works sales of $1.197 billion were up 13% compared to a year earlier, while Victoria's Secret revenue dropped 39% to $977.5 million.

The company is preparing Victoria's Secret and Bath & Body Works to operate as standalone companies, it said in a statement. 

Estee Lauder (NYSE:EL), on the other hand, is down 13% after reporting a loss per share of 53 cents versus the expected loss per share of 22 cents. Sales of $2.43 billion were slightly better than the expected $2.42 billion.

Estee Lauder is taking action, cutting up to 2,000 positions globally, about 3% of its workforce, primarily point of sale employees and related support staff in disrupted areas. It will also close up to 15% of its freestanding stores around the world, as well as less productive department store counters.   

Shares of Estee Lauder had rallied about 47% from March through Wednesday. 

Last month, L Brands said it was cutting 850 corporate jobs, and in May, it said it would close about 250 U.S. stores. 

 

L Brands Stages Comeback on Pampering as Estee Lauder Misses the Boat
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email