Bath & Body Works, Inc. (NYSE: BBWI) released its Q3 earnings report, with the profit numbers that exceeded analyst expectations.

The company reported an earnings per share (EPS) of $0.48, surpassing the estimated $0.35. The third-quarter revenue reached $1.56 billion, aligning with the consensus estimate.

BBWI shares rose 1.9% in pre-open trade.

Looking ahead, Bath & Body Works is anticipating an EPS in the range of $1.70 to $1.90, below the consensus estimate of $1.98. The company expects a decline of 1% to 5% in net sales for the fourth quarter compared to the same period in 2022.

For the full fiscal year 2024, Bath & Body Works sees an EPS between $2.90 and $3.10, below the consensus estimate of $3.07. The company foresees a net sales decline of 2.5% to 4% for the fiscal year compared to 2022's $7.56 billion.

“Our performance in the quarter was marked by strong merchandise margin improvement and the ongoing benefits of our cost optimization initiatives,” Gina Boswell, CEO of Bath & Body Works, commented.

“Amidst the ongoing macroeconomic pressures affecting consumers, we continue to execute against our strategic initiatives to drive growth and create long-term value.”

By Senad Karaahmetovic