Bath & Body Works beats Q1 earnings estimates despite 3% sales drop, maintains 2026 guidance.

Bath & Body Works reported first quarter 2026 net sales of $1.4 billion, down 3% year-over-year, but earnings per diluted share rose to $0.90, surpassing guidance. Adjusted earnings per share were $0.32 after excluding one-time gains and costs. The company reaffirmed its full-year 2026 guidance, expecting net sales to decline between 4.5% and 2.5%, and adjusted earnings per share between $2.40 and $2.65. CFO Eva Boratto will step down in June, with an interim CFO appointed as the company searches for a successor. Management highlighted ongoing efforts to strengthen the brand and expects improved performance through 2026 into 2027.