Victoria’s Secret & Co. Q2 Sales Rise 10% as Company Raises Full-Year Outlook

Září 3, 2026 - 22:00

American lingerie and beauty retailer Victoria’s Secret & Co. reported its fiscal 2026 second-quarter results on September 3, delivering a 10% year-over-year increase in net sales to $1.61 billion. The result came near the high end of the company’s previously announced guidance, while total comparable sales increased 9%.

Supported by broad-based growth across its retail, direct and international channels, the company has raised its full-year outlook for both net sales and adjusted operating income.

Summary

Victoria’s Secret & Co. posted Q2 fiscal 2026 net sales of $1.61 billion, up 10% year over year and near the high end of guidance.
International sales led the quarter, rising 20% to $273.4 million; total comparable sales increased 9%.
Adjusted operating income more than doubled to $124 million, exceeding guidance, even setting aside a $140 million-plus IEEPA tariff refund.
The company raised full-year net sales guidance to $7.10–$7.18 billion and adjusted diluted EPS to $4.45–$4.70.

International Business Leads Broad-Based Sales Growth

Net sales reached $1.611 billion in the second quarter, up 10.4% from $1.459 billion during the same period last year. By channel, sales at North American stores increased 8.9% to $897.9 million, while direct sales rose 8.1% to $439.4 million. International sales delivered the strongest growth, rising 20% to $273.4 million.

For the first half of fiscal 2026, international sales increased 31.6% year over year to $560.8 million.

Reported operating income climbed to $256.6 million from $41 million in the second quarter of fiscal 2025. Net income attributable to Victoria’s Secret & Co. reached $183 million, or $2.18 per diluted share, compared with $16.2 million, or $0.20 per diluted share, a year earlier.

The reported operating result, however, included the impact of tariff refunds under the International Emergency Economic Powers Act, or IEEPA. During the quarter, the company received more than $140 million in refunds, representing more than 95% of the IEEPA tariffs it had paid.

Excluding the tariff refunds, organizational restructuring costs and other adjusted items, adjusted operating income reached $124 million. This was more than double the $55.1 million recorded a year earlier and exceeded the company’s previous guidance of $90 million to $100 million. Adjusted net income was $80.2 million, or $0.95 per diluted share.

Path to Potential Strategy Gains Momentum

Chief Executive Officer Hillary Super attributed the quarter’s performance to the growing alignment between the company’s products, brand identity, storytelling and execution.

“We delivered another strong quarter with broad-based growth across the business. Our Path to Potential strategy is working, our brands are stronger and more relevant, our customer file is growing, and we are gaining market share as product, brand identity, storytelling and execution are all working together.”

Victoria’s Secret & Co. plans to increase its strategic marketing investment as it works to extend the reach of its brands and deepen its connection with customers. Its upcoming initiatives include the Angels Among Us docuseries, an expanded Victoria’s Secret Fashion Show and a series of holiday activations.

Full-Year 2026 Guidance Raised

Following the stronger-than-expected quarter, Victoria’s Secret & Co. raised its fiscal 2026 net sales outlook to between $7.10 billion and $7.18 billion, up from its previous forecast of $7.03 billion to $7.13 billion. The company generated net sales of $6.553 billion in fiscal 2025.

The forecast for adjusted operating income was also increased to between $560 million and $590 million, compared with the previous range of $550 million to $580 million. Adjusted diluted earnings per share are now projected to fall between $4.45 and $4.70.

For the third quarter, the company expects net sales of between $1.57 billion and $1.60 billion, compared with $1.472 billion in the same period last year. Operating income is projected to range from $10 million to $20 million, versus adjusted operating income of zero in the third quarter of fiscal 2025.

Although tariff refunds provided a significant one-time lift to the reported results, the sharp increase in adjusted operating income points to a broader improvement in the underlying business. The quarter offers further evidence that Victoria’s Secret’s ongoing brand transformation is beginning to translate its renewed cultural visibility into more profitable growth.

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