Bath & Body Works Stock Climbs on Earnings Beat. Guidance Is Mixed.

Bath & Body Works expects third-quarter earnings of 7 to 12 cents a share. (Dreamstime)

Key Points

• Bath & Body Works shares rose on Wednesday after the company reported second-quarter earnings of 62 cents a share, beating analyst expectations.
• The retailer’s second-quarter revenue fell 2.3% year over year to $1.15 billion, missing the $1.5 billion analyst consensus.
• Bath & Body Works expects third-quarter earnings of 7 to 12 cents a share, which is below the analyst consensus of 26 cents.

Bath & Body Works stock was climbing on Wednesday, as an upbeat second quarter from the household and personal care retailer offset mixed guidance.

The company said it earned 62 cents a share on revenue that fell 2.3% year over year to $1.15 billion. Analysts were looking for EPS of 24 cents on revenue of $1.5 billion.

Third-quarter guidance was light, as Bath & Body Works expects to earn between 7 and 12 cents a share, compared with the 26 cent consensus.

For the full year, it sees EPS of $2.60 to $2.80, ahead of the $2.65 average analyst estimate. It sees revenue of $7 billion to $7.1 billion, compared with the $7.1 billion consensus.

However, as Guggenheim analyst Simeon Siegel notes, this forecast “seems to include an approximately 31 cent tariff refund benefit, continuing the question of when top-line will turn and how to think about the underlying profitability.”

Nonetheless, shares of Bath & Body Works were up 4% in morning trading. The stock has struggled this year, falling some 8.5%, trailing not only the broader market but also peers tracked by the SPDR S&P Retail exchange-traded fund, so low expectations likely helped the stock.

Likewise, as Jefferies analyst Sydney Wagner writes, investors have already been primed to look past much of the coming quarters: “Management noted 2026 remains an investment year, and continues to expect strategic initiatives to position co for growth.”

Write to Teresa Rivas at teresa.rivas@barrons.com

Copyright ©2026 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8