Victoria’s Secret & Co. has upgraded its fiscal 2026 expectations after first-quarter results came in ahead of management’s own targets on both revenue and profit. The company said momentum across its key banners translated into double-digit sales gains, prompting a reset of its full-year outlook as VS&Co raises guidance for both net sales and operating income.
For the year, VS&Co now projects net sales of $7.03 billion to $7.13 billion, up from its previous range of $6.85 billion to $6.95 billion. The new view also sits above the $6.55 billion recorded in the prior fiscal year. On profitability, the company lifted its adjusted operating income forecast to $550 million to $580 million, compared with earlier guidance of $430 million to $460 million, and above the $403 million posted in 2025.
Chief executive officer Hillary Super said the first-quarter performance extended the recovery trend established late last year. “We delivered a very strong start to 2026, exceeding top- and bottom-line guidance and continuing the momentum we built in the back half of last year. We drove double-digit sales growth across Victoria’s Secret, PINK, and Beauty, as well as our fourth consecutive quarter of positive comps.”
Q1: Sales and earnings outpace targets
In the quarter ended 2 May 2026, VS&Co reported net sales of $1.56 billion, up 15% from $1.35 billion a year earlier. The result exceeded the company’s prior guidance range of $1.49 billion to $1.53 billion. Comparable sales increased 13% year on year.
Operating income rose sharply to $76 million from $20 million in the prior-year period. Net income improved to $48 million, or $0.56 per diluted share, compared with a net loss of $2 million, or $0.02 per diluted share, a year ago.
On an adjusted basis, net income reached $51 million, or $0.60 per diluted share—well ahead of the previously communicated expectation of $0.20 to $0.30 per diluted share. The adjusted comparison also marked a significant improvement from last year’s $7 million, or $0.09 per diluted share.
Super linked the quarter’s performance to product and brand execution, as well as stronger full-price selling dynamics. “Our customer responded strongly to our product innovation, emotionally resonant storytelling, and distinct brand projection, driving double-digit growth in new customer acquisition, increased regular-price selling, and broad-based strength across categories, channels, and geographies.
“These results reflect the progress we are making against our Path to Potential strategy as we continue to strengthen customer connection, build brand heat, and drive sustainable long-term growth.”
Q2 outlook: higher sales and a step-up in profit
For the second quarter of fiscal 2026, the company expects net sales of $1.59 billion to $1.62 billion, compared with $1.46 billion in the same quarter last year. Operating income is forecast at $90 million to $100 million, a notable increase from the prior year’s adjusted operating income of $55 million.
With Q1 exceeding internal expectations and Q2 projected to accelerate further, VS&Co raises guidance as management signals confidence that recent gains—new customer acquisition, stronger storytelling, and higher regular-price selling—can translate into more durable performance through the remainder of the year.
