Limited Brands Meets

The retailer also guides to the lower end of its previous forecast for second-quarter earnings.

Author:: TSC Staff
Publish date:: May 17, 2004 4:32 PM EDT

Updated from 1:29 p.m. EDT

Limited Brands

(LTD)

Monday reported higher first-quarter earnings, as promised, then lowered the bar on its profit in the current quarter.

The retailer posted adjusted net income of $67.8 million, or 13 cents a share, compared with $49.8 million, or 9 cents a share, in the year-ago period. The consensus estimate was 13 cents a share, according to Thomson First Call.

In March, the company raised guidance to 11 cents to 13 cents a share.

Same-store sales for the quarter ended May 1 rose 8% and revenue increased 7% to $1.98 billion from a year ago.

Looking forward, the Columbus, Ohio-based company forecast earnings at the low end of its previous guidance of 23 cents to 26 cents a share. For the full year, Limited expects EPS growth of 14% to 17% vs. its 2003 adjusted result of $1.11. Analysts expect 25 cents and $1.30 a share, respectively.

The company also announced a $100 million share buyback plan, following the completion of a $1 billion buyback in May.

Limited Brands operates Victoria's Secret, Bath & Body Works, Express and other retail units.

The stock closed down 59 cents, or 2.97%, at $19.29.