Victoria's Secret & Co. Reports 10% Revenue Growth to $1.611 Billion in Q2 2026

Victoria's Secret & Co. reported significant financial growth in its second quarter of fiscal year 2026, with net sales reaching $1.611 billion, a 10% increase from $1.459 billion in the same period last year. The company's operating income surged to $257 million, up from $41 million in the second quarter of 2025, reflecting a substantial improvement in profitability. The operating income rate also rose to 15.9%, compared to 2.8% in the prior year, driven by increased sales and a $135 million benefit from IEEPA tariff refund recoveries.

Year-to-date figures for 2026 also showed strong performance, with total net sales of $3.170 billion, a 13% increase from $2.812 billion in the previous year. The North American stores channel saw a 10% rise in sales, while the international channel experienced a 32% increase. The company attributed this growth to improved merchandise margins, increased regular-priced selling, and a decrease in promotional activity. Additionally, the company noted that the prior year's sales were negatively impacted by a security incident that closed its website for a period.

In terms of operational developments, Victoria's Secret continues to focus on its strategic growth plan, which includes enhancing its product offerings and expanding its market presence. The company operates approximately 850 stores across the U.S., Canada, and China, and has a significant online presence. As of August 1, 2026, the company had a total of 1,430 stores globally, reflecting a net increase in locations. The company also reported a cash balance of $522 million, up from $188 million a year earlier, indicating improved liquidity.

The filing also highlighted ongoing restructuring efforts aimed at optimizing the executive leadership team and organizational structure, with related expenses of $10 million recorded year-to-date. The company has been actively managing its costs while investing in product innovation and customer experience enhancements. Looking ahead, Victoria's Secret expressed confidence in its ability to drive sustainable long-term value for shareholders, despite potential challenges from market conditions and evolving consumer preferences.

Overall, Victoria's Secret & Co. demonstrated a strong financial performance in the second quarter of 2026, with significant increases in both revenue and profitability, alongside strategic initiatives aimed at enhancing its market position and operational efficiency. The company remains focused on executing its growth strategy while navigating the complexities of the retail environment.