June 2 (Reuters) - Victoria's Secret shares jumped 34% in premarket trading on Tuesday, as the lingerie retailer raised its annual sales and profit forecasts after posting double-digit quarterly revenue growth across its brands, including PINK.
The company said that its brands, including Victoria's Secret, PINK and its beauty business, benefited from higher selling prices and lower promotional activity despite an uncertain tariff environment.
The results underscore a bifurcation in U.S. consumer spending,
with higher-income shoppers continuing to spend on discretionary and "nice-to-have" items, while lower-income households pull back under persistent inflationary pressure.
"Victoria's Secret, PINK, and Beauty are gaining cultural relevance and expanding their customer files, and we have a strong pipeline of product launches, partnerships, and brand moments ahead," CEO Hillary Super said.
"We believe we are well positioned to continue building momentum and creating shareholder value."
Quarterly sales rose 15% to $1.56 billion, marking the company's fourth straight quarter of growth and topping estimates of $1.52 billion, according to LSEG data.
It also reported an adjusted profit of 60 cents per share, well above estimates of 30 cents.
Victoria's Secret now expects fiscal year 2026 net sales in the range of $7.03 billion to $7.13 billion, compared with its previous range of $6.85 billion to $6.95 billion.
The company also sees annual adjusted operating income in the range of $550 million to $580 million, compared with its prior forecast of $430 million to $460 million.
(Reporting by Sanskriti Shekhar in Bengaluru; Editing by Leroy Leo)
