In preliminary estimates, marketer of intimates’ iconic brand Victoria Secret, L Brands said its net sales for the fourth quarter rose 7 per cent year on year for the fourth fiscal quarter ended January 31, 2015.
Net sales for the fourth quarter of fiscal 2105 totaled $4.069 billion, up 7 per cent compared to $3.818 billion for the same quarter of fiscal 2014, while comparable store sales rose slower by 6 per cent.
L Brand reported sales hike of 6 per cent year on year to $11.45 billion in fiscal 2015, while here too, comparable stores sales for the fiscal year increased slower by 4 per cent.
For the four-week period ended January 31, 2015, the apparel marketer reported net sales of $783.1 million, an increase of 7 per cent from four-week period ended February 1, 2014.
L Brands expects to report fourth quarter earnings per share between $1.78 and $1.80, above its previous guidance of $1.61 to $1.71.
The company is increasing its annual ordinary dividend by 47 per cent to $2.00 per share from $1.36 per share. In addition, L Brands announced a special dividend of $2.00 per share.
It said the quarterly ordinary dividend of $0.50 per share and the $2.00 special dividend will be paid on March 6, 2015, to shareholders of record on February 20, 2015.
Additionally, it has authorised a new $250 million share repurchase program, which includes the remaining $91 million outstanding under the previous program.
The clothing marketer repurchased $84 million of stock in 2014 and said; repurchases will be made at the times, in the amounts and in the manner that the company believes appropriate.
CEO Leslie Wexner said, "I am very proud and appreciative of the team's focus and the disciplined execution in our business, which drove record performance in 2014.”
“The dividend and share repurchase actions announced today reflect confidence in our growth opportunities and commitment to delivering shareholder value," she added.
L Brands will report fourth quarter results and provide 2015 earnings guidance on its earnings call, which will be held on February 26, 2015.
L Brands manages and markets brands like Victoria's Secret, PINK, Bath & Body Works, La Senza and Henri Bendel and operates 2,969 company-owned specialty stores in the US, Canada and UK.
