Victoria’s Secret will relaunch its annual fashion show – without its Angels

2018 victorias secret fashion show models
Victoria’s Secret 2018 show.

  • Victoria’s Secret says it will bring back its annual runway show, but hasn’t set a date.
  • The brand canceled its runway show in 2019, promising to rethink the business.
  • Victoria’s Secret ditched its Angels in June, saying the concept was not “culturally relevant.”
  • See more stories on Insider’s business page.

Victoria’s Secret plans to revive its annual runway show in the future – only without its Angels this time.

Victoria’s Secret canceled its runway show in November 2019, 24 years after it launched in 1995. Les Wexner, then CEO of parent company L Brands, said at the time that the company didn’t think “network television is the right fit” for the show and that it was rethinking “literally everything” about the business.

In a presentation to investors on Monday, Victoria’s Secret CEO Martin Waters said the company’s “intent is to get back into the fashion show business” in the future, CNBC reported. He didn’t give a timeline.

“We’re not in a hurry to announce when that will be or how that will be … but we will redefine it in a way that’s culturally relevant in the coming years,” he said, according to CNBC.

The fashion show, which famously featured Victoria’s Secret top models, the Angels, saw its ratings decline in the years running up to its cancellation.

The company ditched its Angels for good in June, and is promising to focus more on inclusivity and diversity.

Read more: Victoria’s Secret’s new CMO on how the brand’s radically different new image will help it win back disillusioned shoppers

In its heyday in the late 90s and early to mid-2000s, the event attracted millions of viewers. The show, and the costumes, became more elaborate as the years went on.

Ed Razek, the brains behind the show and L Brands’ marketing chief, was considered one of the most influential people in modeling throughout the early 2000s, and helped launch the careers of household names such as Gisele Bündchen, Tyra Banks, and Heidi Klum.

Razek later stepped down. He and Wexner were accused of creating a “culture of misogyny, bullying, and harassment,” according to a report in The New York Times.

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Victoria’s Secret is working with former Angels even as it drops scantily dressed models for activists and entrepreneurs

Victoria's Secret ditches its Angels
Angels at the Victoria’s Secret runway show in 2018.

  • Victoria’s Secret will keep working with some former Angels, its new creative director told the New York Post.
  • It’s abandoned the Angels concept but some former Angels will still model for the brand.
  • Victoria’s Secret is in the middle of a major rebrand after years of struggle.
  • See more stories on Insider’s business page.

Victoria’s Secret will continue to work with former Angels even after it abandoned the concept last month, its new creative director has said.

In an interview with The New York Post, Raúl Martinez said: “The word Angel is retired but that doesn’t mean the women we worked with as Angels are retired.”

Martinez told the Post that at least three former Angels will continue to model for the brand, including 25-year-old Taylor Hill, 24-year-old Grace Elisabeth, and 52-year-old Helena Christensen.

Victoria’s Secret announced in June that it was scrapping its Angel brand because it was no longer “culturally relevant.” It said that instead, a group of seven activist and entrepreneurial women – including Indian actor Priyanka Chopra Jonas and the professional soccer player and gender-equality activist Megan Rapinoe – would become spokeswomen for the brand.

This announcement was part of the brand’s major overhaul under a new management team.

Read more: POWER PLAYERS: Meet the 8 Victoria’s Secret executives helping the company shake off years of scandal and slumping sales

Martinez took on the position of creative director at the start of the year and has been tasked with bringing the brand to life visually. He works closely with the design and marketing teams and has the final say over anything from what photographers Victoria’s Secret hires to shoot campaigns, to what fonts it uses in its ads.

The name Angel was first coined in 1999, when models Helena Christensen, Karen Mulder, Daniela Peštová, Stephanie Seymour, and Tyra Banks appeared in an ad to promote the Angels underwear collection.

In the late 1990s and early 2000s, the Angels and the annual Victoria’s Secret runway show had a powerful role in defining “sexy” in the modern day. More recently, it has been criticized as outdated and out-of-touch.

Read the original article on Business Insider

Victoria’s Secret billionaire Les Wexner is on track to sell $1.2 billion of company stock this year as he retreats from the lingerie business

Les Wexner
Les Wexner.

  • Les Wexner is on track to sell $1.2 billion of Victoria’s Secret stock this year.
  • This leaves the Wexner family with around a 10% stake in the business.
  • Wexner stepped down as CEO in 2020 shortly after controversy over his relationship with Jeffrey Epstein.
  • See more stories on Insider’s business page.

Les Wexner, the billionaire businessman behind Victoria’s Secret, is on track to sell $1.2 billion worth of company stock this year.

Wexner, who stepped down as CEO of its parent company L Brands in February 2020 and from its board in March, has been selling large chunks of stock over the past few months – most recently, $745 million-worth.

Wexner and his wife Abigail are among the company’s largest shareholders. According to Bloomberg, this latest sale would leave them with around a 10% stake in the company.

Up until he stepped down last year, Wexner was the longest-serving CEO of any Fortune 500 company. He was credited with transforming Victoria’s Secret into a global powerhouse.

Read more: POWER PLAYERS: Meet the 8 Victoria’s Secret executives helping the company shake off years of scandal and slumping sales

Toward the end of his tenure, Wall Street grew critical of his leadership as sales had slowed and critics said Victoria’s Secret’s brand image was out-of-date.

Activist shareholder Barington Capital wrote a public letter to Wexner in 2019 urging him to address the brand image issues and switch up its predominantly male board of directors.

Wexner stepped down as CEO and chairman the company 2020. At the time, his relationship with disgraced financier Jeffrey Epstein had come under intense scrutiny. Epstein managed Wexner’s money and the two were close friends for several years.

“At some point in your life we are all betrayed by friends,” Wexner said in a statement at the time. “Being taken advantage of by someone who was so sick, so cunning, so depraved, is something that I’m embarrassed I was even close to.”

Victoria’s Secret is currently in the midst of a major turnaround effort under new leadership.

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Victoria’s Secret ditched its Angels after a successful decades-long partnership. Take a closer look at how the concept was born – and why the lingerie chain thinks Angels are no longer relevant.

Victoria's Secret Angel Alessandra Ambrosio
Alessandra Ambrosio walks the runway during the 2017 Victoria’s Secret Fashion show in Shanghai.

  • Victoria’s Secret Angels have been synonymous with the lingerie brand for decades.
  • However, as part of an extreme brand turnaround, the lingerie label is bidding them farewell.
  • But how did Angels come about? Insider tapped into the history of the tradition since its inception.
  • See more stories on Insider’s business page.
This month, after nearly two decades, Victoria’s Secret confirmed that it is ending its Angels brand.

miranda kerr victoria's secret fashion show 2012
Victoria’s Secret Angel Miranda Kerr walks the runway during the 2012 Victoria’s Secret Fashion Show at the Lexington Avenue Armory on November 7, 2012 in New York City.

Its CEO Martin Waters said that the Angels were no longer “culturally relevant” and would not be a part of the brand as it undergoes a major turnaround effort.

Instead, it has taken on a group of seven new spokeswomen – a mix of activists and entrepreneurs to promote its new image.

Priyanka Chopra Jonas
Priyanka Chopra Jonas.

This includes actress and entrepreneur Priyanka Chopra Jonas and soccer player and gender-equality activist Megan Rapinoe. 

Read more: Victoria’s Secret’s new CMO on how the brand’s radically different new image will help it win back disillusioned shoppers

So how did the concept of an Angel first come about and why is it being abandoned?

Victoria's Secret old
Victoria’s Secret’s first Angels.

Models Helena Christensen, Karen Mulder, Daniela Peštová, Stephanie Seymour, and Tyra Banks were the first Angels.

The name was coined in 1997 after they appeared in an ad to promote Victoria’s Secret’s “Angels” underwear collection.

From then on, the Angels became an elite group of models that were carefully selected to become the face and voice of the brand.

Victoria's Secret old

Since the late 1990s, these Angels have become one of the most well-known parts of the brand.

Though there have been hundreds of Victoria’s Secret models over the years, many of which have walked its runway show, not all have made it to the elite status of an Angel.

Victoria's Secret Angels
Victoria’s Secret Launches “Angels 2000” Bra. Daniela Pestova, Stephanie Seymour, Karen Mulder, Ines Rivero.

Through their contracts with Victoria’s Secret, they were required to be featured in campaigns, talk shows, and runway events.

Victoria’s Secret was previously vague about how their contracts worked and what they are actually expected to do.

Elsa Hosk, a former Victoria's Secret Angel
Elsa Hosk wears The 2018 Dream Angels Fantasy Bra at The Plaza Hotel Palm Court on November 5, 2018, in New York City.

But reports indicate that being an Angel requires a big commitment of time and responsibility.

“Becoming an Angel means you are officially part of the family of Victoria’s Secret,” Elsa Hosk said in an All-Access video back in 2015

“You are a spokesperson for the whole brand, and that is such a cool thing because it’s one of the biggest, most amazing brands in the world,” she said. 

Angels get to go home with multi-million dollar pay cheques.

Adriana Lima
Adriana Lima.

Although it is unclear how much angels are paid year on year, many were among some of the world’s highest-paid models. As previously reported by Insider, 11 of the 17 women on Forbes’ list for The Highest Paid Models 2016 have been Victoria’s Secret Angels. 

World-famous models including Gisele Bündchen and Adriana Lima, who hold a superior status with the brand, have finished years with multi-million-dollar salaries, per Insider. In 2018, Bündchen earned $30.5 million and Lima $10.5 million, but other Angels, including Taylor Hill and Jasmine Tookes took home $4 million. 

 

But the level of commitment has meant that Victoria’s Secret has lost Angels in the past.

Karlie Kloss, during her time as a Victoria's Secret Angel
Karlie Kloss pictured (R).

As previously reported by Insider, Doutzen Kroes and Karlie Kloss both pulled out of contracts early to focus on other commitments.

Sources highlighted to Page Six that relatively little pay over time was also a factor in Angels’ decision to depart. “Older contracts like Alessandra Ambrosio used to be in the millions, now they’re like $100,000,” a source told the outlet. 

There have been 41 Angels in total since 1997 when Christensen, Mulder, Peštová, Seymour, and Banks were first taken on.

Tyra Banks
Tyra Banks walks the runway at The Victoria’s Secret Fashion Show at the 69th Regiment Armory November 9, 2005 in New York.

Banks was the first black model to become an Angel.

Over the years, these women became a defining part of its increasingly elaborate runway shows and risque brand image.

Gisele Bundchen at the 1999 Victoria's Secret Fashion show
Gisele Bündchen walks the runway at the 1999 Victoria’s Secret Fashion show.

In 1999, its annual fashion show aired for the first time online and was described as the internet-breaking moment of that time after 1.5 million people tried to tune in and crashed the site.

The year after that, Angel Gisele Bündchen walked the runway in what was then the most expensive item of lingerie ever created, a $15 million diamond-and-ruby-encrusted ‘Fantasy Bra.’

Gisele Bundchen wearing the $15 million Victoria's Secret 'Fantasy Bra'
Gisele Bündchen.

The tradition to wear a “Fantasy Bra” at every runway show came about in 1996 when Claudia Schiffer wore a diamond-encrusted bra that cost $1 million. 

The shows became more lavish over the years.

Taylor Swift performs at the Victoria's Secret fashion show in 2014
Taylor Swift performs at Victoria’s Secret fashion show in 2014.

From popular musical acts including Taylor Swift and Kanye West, elaborate costumes and historical venues, to models sporting ornamental Angel “wings,” that can take up to 400 hours of labor, down the runway, the shows became a yearly attraction for many.

Carrying the wings was no easy feat.

Victoria's Secret Angel Alessandra Ambrosio
Alessandra Ambrosio walks the runway during the 2017 Victoria’s Secret Fashion show in Shanghai.

One year, Angel Alessandra Ambrosio revealed in an interview on “Late Night With Seth Meyers,” that she wore one of the heaviest pairs of wings in history in 2011, weighing around 60 pounds, per Insider

Some of the world’s top supermodels including Gigi Hadid and Kendall Jenner were among the catwalk’s line-up but never made it to Angel status.

Kendall Jenner walks the runway at the 2018 Victoria's Secret Fashion Show
Kendall Jenner walks the runway at the 2018 Victoria’s Secret Fashion Show.

Between 2016 and 2018, Victoria’s started to lose market share and its racy brand image. Angels were viewed as being increasingly out-of-touch and out of date in the wake of the #MeToo movement.

This came to a head in 2018, just weeks before its annual fashion show was due to air on television.

Ed Razek
Ed Razek.

Ed Razek, the marketing chief and brains behind the show, caused a backlash after he made controversial comments about plus-size and transgender models in an interview with Vogue.

Read morePeople slammed Victoria’s Secret after its marketing chief made controversial comments about transgender models, but he didn’t resign. This could be why, according to former executives.

When the show aired on TV, viewership numbers sank by 34%.

victoria's secret ed razek
Razek speaks to the 2018 Victoria’s Secret runway models backstage during the 2018 Victoria’s Secret Fashion Show.

The year after, for the first time since it launched in 1995, the show was canceled just after Razek left the company.

The Angels stayed on and in early 2019, a new Angel was announced – Barbara Palvin.

Barbara Palvin
Barbara Palvin.

At the time, fans praised Victoria’s Secret for selecting a more body-positive model, though she wasn’t plus size.

Over the course of 2020, the company underwent some major changes.

Les Wexner

Its longtime leader Les Wexner stepped down and it began the hiring of a brand new executive team. This included a new marketing head and creative director.

And under new leadership, the brand is refocusing its image.

Victoria's Secret
A Victoria’s Secret store in the UK.

“We’re moving from what men want to what women want,” CEO Waters said about the company’s repositioning, in a recent earnings call. “From sexy for a few to sexy for all.”

“It’s about including most women rather than excluding most women and being grounded in real life, rather than mostly unattainable,” he said.

And that apparently means no Angels. 

 

Read the original article on Business Insider

Victoria’s Secret is finally raising its prices after years of extreme deals on inexpensive lingerie

Victoria's Secret
Promotions were a mainstay in Victoria’s Secret stores in the past.

  • Victoria’s Secret is cutting back on discounts and raising prices, according to a UBS report.
  • The firm has been criticized for its constant promotions, which are thought to erode profit margins.
  • Less discounting and higher prices are crucial for its turnaround effort, analysts say.
  • See more stories on Insider’s business page.

Victoria’s Secret is cutting back on deals and raising prices, and Wall Street is on board.

In a note to clients this week, UBS analysts Jay Sole and Mauricio Serna reiterated their recommendation to buy L Brands stock (the parent company behind Victoria’s Secret) and shared data that showed the level of promotions in Victoria’s Secret stores – which includes its Pink brand – was “declining at a surprisingly fast rate.”

UBS said the average price of an item listed on Victoria’s Secret’s website in May 2021 was $44, a huge 83% increase from May 2019.

It also found that a quarter of the products on its site were on sale in May 2021. This is still a substantial number but a notable improvement on the level of promotions over the past four years, which floated around the 40% to 60% mark.

“This boosts our confidence that the Victoria’s Secret turnaround is real,” these analysts said.

Read more: The rise and fall of Victoria’s Secret, America’s most famous lingerie retailer

Unsatisfied customers

Victoria’s Secret has been strongly criticized by Wall Street in the past for constant promotions in stores. Analysts said these not only erode profit margins but also dampen the brand image and make it almost impossible to encourage customers to pay full price.

It wasn’t uncommon to see 40%-off sale signs littered around its stores between 2018 and 2019, and underwear deals such as five pairs of panties for $28. And major discounts of this kind are usually a sign that retailers are looking to clear unwanted inventory.

In 2019, the company promised to cut back on these promotions and tighten inventory levels but shortly after, discounts began to creep back in. At the time, UBS analysts said that price increases could be putting off customers, causing Victoria’s Secret to go back on its progress.

Victoria’s Secret’s price points have been a contentious subject as some shoppers previously said they felt the brand was still overpriced despite all the deals and discounts. And others said the quality of the clothing didn’t match these price points.

But Victoria’s Secret’s growth over the past few quarters – same-store sales were up 9% in the first quarter of the year versus 2019 and operating income, a measure of profitability, increased by $213 million or 665% – indicates that consumers are becoming comfortable paying more for its apparel and lingerie and that it has a better handle on its inventory levels.

Gabriella Santaniello, analyst and founder of retail research firm A-Line Partners, told Insider that the pandemic enabled Victoria’s Secret to have a “reset,” and cut back on its inventory, which has facilitated more full-price sales, she said.

More inclusive marketing pays off

The company has made considerable changes to its marketing in the past year. And experts say efforts to update its brand image, which critics previously said was out-of-date and oversexualized, have also helped to boost sales.

The marketing is “more subtle and appropriate,” Neil Saunders, managing director of GlobalData Retail, told Insider. It has “fewer sexual overtones and focuses more on more on celebrating women. That has resonated and has pulled some shoppers back to the brand,” he said.

Victoria's Secret
The Victoria’s Secret ad campaigns of 2021 look very different from the past.

And it matches up to what’s shown in stores, Santaniello said: “For example, they recently brought in plus-sized mannequins, which reflects their use of plus-sized models in their advertising.”

Still, the company needs to keep this “360 focus” long-term, she said. “They need to make sure they do not waiver because it will come across as inauthentic and that’s why they haven’t really been successful with the turnaround over these past few years.”

Read the original article on Business Insider

Victoria’s Secret is experiencing a major comeback after years of declining sales – and Wall Street is salivating

Victoria Secret
Victoria’s Secret was known for its annual runway show.

  • Wall Street is optimistic about Victoria’s Secret’s revival after its parent firm reported Q1 earnings.
  • Same-store sales were up 9% for the first three months of 2021 versus 2019 for Victoria’s Secret brand.
  • Experts cite more inclusive marketing and a management shakeup as key factors.
  • See more stories on Insider’s business page.

Victoria’s Secret is having somewhat of a comeback, and Wall Street is starting to get excited about it.

In L Brands’ earnings call this week, several analysts congratulated the management team on Victoria’s Secret’s first-quarter results. Same-store sales were up 9% in the first quarter of the year versus 2019 and operating income, a measure of profitability, increased by $213 million or 665%.

“Welcome back,” Marni Shapiro, an analyst at The Retail Tracker, triumphantly said on the call. “I am so excited about this…it’s brilliant and overdue.”

The sentiments of this week’s call stood in stark contrast to its earnings a year ago when the management team was navigating store closings and worker-safety issues brought about by the pandemic.

It was also adjusting to the news that a private equity firm that had agreed to buy a majority stake in the company was pulling out of the deal. This left investors wondering whether Victoria’s Secret would be able to continue its turnaround effort – addressing sliding sales, former sexual harassment allegations, and moving beyond its connection to the Jeffrey Epstein scandal.

How then, did management swing the pendulum around and come to win back Wall Street?

Overtly sexualized ads, the Epstein connection, and harassment allegations

To understand Victoria’s Secret’s “comeback”, it’s necessary to understand its downfall.

Between 2016 and 2020, the brand became the subject of intense scrutiny among investors and the media. After it achieved explosive success between the mid-1990s to mid-2000s with its racy runway shows (which helped to launch the careers of Gisele Bündchen, Tyra Banks, and Heidi Klum), it was increasingly accused of being out of date and oversexualized in its brand image, especially in the wake of the #MeToo movement.

Read more: The rise, fall, and comeback of Victoria’s Secret, America’s biggest lingerie retailer

Gisele Bündchen victorias secret fashion show 2018
Bündchen walks the runway at the 2006 Victoria’s Secret Fashion Show.

Sales started to dwindle, customers complained that the quality of its lingerie and apparel had slipped, and analysts became more critical as the level of promotions in its stores crept up, highlighting them as evidence that the company was struggling.

In 2019 and 2020, Victoria’s Secret’s troubles were exacerbated after the company found itself tied up in the Jeffrey Epstein scandal. Epstein managed Wexner’s money for several years and was considered a “close friend” of the family. Reports later emerged that Epstein had allegedly used his connection to Victoria’s Secret to coerce victims into sexual acts.

In early 2020, the company then faced a fresh wave of scandals after a New York Times investigation found a culture “of misogyny, bullying, and harassment” at the brand, which longtime marketing chief Ed Razek and Wexner were accused of creating.

Former executives, who held longtime positions at Victoria’s Secret’s corporate offices, told Insider in 2019 that Razek and Wexner had full control over the brand image and made it impossible for any CEO of Victoria’s Secret to update this or make a mark.

Read more: Former employees reveal what the billionaire head of Victoria’s Secret is like as a boss as he faces backlash over his ties to Jeffrey Epstein

‘We’re moving from what men want to what women want’

In the time since these explosive reports, both Razek and Wexner have stepped down from the company. Wexner and his wife, Abigail, are no longer on the board of directors but remain L Brands’ biggest shareholders.

And Victoria’s Secret’s executive team and L Brands board have undergone a major shakeup in the past year, gaining a new CEO, Martin Waters, who previously headed up L Brands’ international division.

The lack of diversity on its board, which was criticized by an activist shareholder, has also been addressed. In 2019, out of the 11 board members, nine were men. Today, there are six women on the board, including the chair, Sarah Nash.

leslie wexner ed razek
Les Wexner (L) and Ed Razek (R).

Critics say this shake-up has been crucial for Victoria’s Secret’s comeback by allowing new perspectives and fresh ideas to come through.

“We’re moving from what men want to what women want,” Waters said on the call on Thursday. “From sexy for a few to sexy for all.

“It’s about including most women rather than excluding most women and being grounded in real life rather than mostly unattainable,” he said.

Morgan Stanley analyst Kimberly Greenberger said she “applauded” its “long overdue positioning shift,” in a note to clients Friday.

The brand imagery of 2021 looks very different from what Victoria’s Secret had previously been known for; oversexualized ads have been replaced with more body-positive campaigns.

A post shared by Victoria’s Secret (@victoriassecret)

Waters said that customers are responding well to these changes.

They “are noticing and uploading our efforts to reposition the brand,’ he said Thursday. “We heard clearly what they [customers and associates] want from us as a brand, which is all about representing and celebrating all women and being there for every moment of their life, including supporting and advocating the things that matter most to them, and that’s exactly what we’re doing.”

According to, Gabriella Santaniello, analyst and founder of retail research firm A-Line Partners, the company is following through on its marketing by enacting real change in its stores. “They recently brought in plus-sized mannequins which reflect their use of plus-sized models in their advertising,” she said in an email to Insider on Friday.

“I think they need to focus on a 360 view of the brand. During the pandemic, they were able to evolve and tie up some loose ends. They need to make sure they do not waiver because it will come across as inauthentic and that’s why they haven’t really been successful with the turnaround over these past few years,” she added.

Neil Saunders, managing director of GlobalData Retail, said that more “appropriate” marketing is pulling shoppers back to the brand. As is, a better product assortment.

Victoria’s Secret “has been sensible over the past year and there is a lot of focus on making women feel good whether it be through indulgences or cozy items to wear around the house,” he wrote an email to Insider.

But there’s still work to be done. Waters said the focus now is bringing more innovation to its products, especially around its bread and butter item – bras.

victorias secret Maria Borges
Victoria’s Secret was previously slow to adjust to a shift from padded and push-up bras toward bralettes and sports bras, missing out on a major fashion trend.

Santaniello said that the pandemic gave Victoria’s Secret time for a moment of pause to address its business.

“This past year was just a culmination of strategies they put into place but never fully implemented,” she said. “They were smart in using this past year, which was essentially a reset across all retail, to finally tie up their loose ends.”

During this time, Victoria’s Secret closed 250 underperforming stores and was able to pull back on inventory and cut the level of promotions. This boosted its margins in the most recent quarter.

Still, Saunders says its comeback shouldn’t be overinflated. Some of its performance has been boosted by stimulus spending and a booming consumer economy, he said.

“That rising tide of spending is floating all boats. The real acid test is what performance looks like in the quarters and years ahead,” he added.

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Victoria’s Secret parent L Brands jumps on revised guidance as latest stimulus boosts sales

Victoria's Secret
  • Shares of L Brands, parent of lingerie retailer Victoria’s Secret, rose by nearly 7% on Friday.
  • The company raised its first-quarter earnings view to $0.85-$1 a share from $0.55 to $0.65 a share.
  • An uptick in sales appears to be driven by stimulus payments and easing COVID-19 restrictions.
  • See more stories on Insider’s business page.

Shares of Victoria’s Secret parent company L Brands climbed Friday after lingerie retailer raised its quarterly earnings outlook, citing stimulus payments to Americans as a pillar of sales support.

L Brands now expects first-quarter earnings of $0.85-$1 per share, higher than its previous forecast of $0.55-$0.65 per share, excluding any charges related to the early extinguishment of debt. Analysts were looking for earnings of $0.62 per share, according to a survey of analysts at Yahoo Finance.

The shares tacked on 6.7% when they hit $63.40. This year, the stock has jumped nearly 60% and has risen over the past 12 months from about $12.50.

“Improved sales trends,” the company gauged, “are primarily driven by unusual shifts in consumer spending patterns, resulting from government stimulus payments, a relaxation of COVID-19 restrictions and other factors.”

The US government this month began sending out $1,400 checks to most Americans to help them deal financially with the COVID-19 health crisis. Meanwhile, more businesses have been reopening services with the vaccination of millions of people in the US against coronavirus. About 14% of the population has been fully vaccinated, according to the Centers for Disease Control and Prevention.

The company said it’s seeing stronger activity at its Victoria’s Secret chain as well as its Bath & Body Works stores.

“The environment remains uncertain, and there is no assurance that these improved trends will continue,” L Brands said.

Read the original article on Business Insider