Investing.com -- Bath & Body Works, Inc. reported third-quarter earnings that exceeded analyst expectations, driving shares up 12.6% in premarket trading.
The personal care and home fragrance company posted adjusted earnings per share of $0.49, surpassing the analyst estimate of $0.47. Revenue for the quarter came in at $1.61 billion, beating the consensus estimate of $1.58 billion and representing a 3% YoY increase.
CEO Gina Boswell attributed the strong performance to successful product innovation and investments in marketing and technology. "Our strong results exceeded the high end of our net sales and earnings per diluted share guidance," Boswell stated.
In response to the better-than-expected results, Bath & Body Works (NYSE:BBWI) raised its full-year 2024 guidance. The company now expects net sales to decline between 2.5% and 1.7% compared to fiscal 2023, an improvement from its previous forecast. Full-year adjusted earnings per share are projected to be between $3.15 and $3.28.
For the fourth quarter, Bath & Body Works anticipates net sales to decline between 6.5% and 4.5% YoY, factoring in a 500 basis point headwind due to the shifted fiscal calendar. Fourth quarter earnings per share are expected to range from $1.94 to $2.07.
The company's guidance includes the anticipated impact of $400 million in share repurchases for the full year.