Bath & Body Works lowers 2024 sales forecast due to inflation-driven weaker demand.

Bath & Body Works has reduced its annual sales forecast due to weaker demand caused by high inflation, expecting net sales to decline by 2-4% in 2024. Consumers are prioritizing essentials like groceries and medicines, leading to cautious spending on discretionary items. Despite a 9.7% decline in direct sales in the US and Canada during Q2, the company's adjusted profit of 37 cents per share for the quarter ended August 3 exceeded analysts' estimates of 36 cents.

August 28, 2024
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