Investing.com -- L Brands Inc (N:LB), the parent company of popular retail stores such as Victoria's Secret, Bath & Body Works and La Senza, reported a 13% spike in fourth quarter earnings on Wednesday after delivering one of its strongest Holiday sales periods in company history.
As a result, L Brands posted record fourth quarter and full-year results in 2015, finishing the year among a select few of retailers to turn a profit in an industry beset by a struggling economy and dwindling consumer demand. During the company's fourth-quarter, which ended in late-January, L Brands reported a 14% increase in per share earnings from 1.89 to 2.15, while its revenues surged 8% to $4.395 billion. Same-store sales soared at both Victoria's Secret and Bath & Body Works, driven by a 15% increase in direct sales at the former.
“We delivered record results in a year when many retailers struggled. These results are a reflection of the strength of our brands and were driven by tremendous focus and execution across the enterprise. I am very optimistic heading into 2016 and confident in our growth opportunities," L Brands CEO Leslie Wexner said in a statement.
For the quarter, L Brands opened 34 new Victoria's Secret stores, while adding 33 Bath & Works shops increasing the company total to 3,005 worldwide. Wexner also inherited the role of executive chairwoman at Victoria's Secret following the resignation of Sharen Turney earlier this month.
Moving forward, L Brands expects 2016 full-year earnings per share between $3.90 and $4.10, including earnings per share between $0.50 and $0.55 in the first quarter. Analysts are forecasting full-year per share earnings of $4.19, along with first quarter EPS of $0.65. The company noted that the negative impacts of foreign exchange translation, as well as a $1 billion interest expense related to a 2015 bond sale will continue to weigh on its earnings.
Shares in L. Brands ticked up 0.45 or 0.54% to 83.65 in after-hours trading.