Victoria's Secret Overcomes Cyber Incident and Faces Investor Questions
Victoria's Secret & Co. is currently in a recovery phase following a recent cyberattack that caused a four-day website shutdown. CEO Hillary Super addressed the situation during a conference call, stating that the investigation is being finalized.
Navigating Challenges
Super, previously with Savage x Fenty, is dealing with the aftermath of the cyber incident, as well as scrutiny from investors led by Brett Blundy’s BBRC International. BBRC, a significant shareholder, has publicly questioned the company's board regarding value creation.
Financial Performance and Outlook
Despite these challenges, Victoria's Secret is holding firm on its annual sales forecast of $6.2 billion to $6.3 billion. However, the company has adjusted its operating income projection downwards to $270 million to $320 million, primarily due to trade war tariffs. First-quarter sales were flat at $1.4 billion, with a slight decrease in comparable sales. The company is focused on agility and responding to market changes.
Strategic Adaptations
Super emphasized the company's swift response to changing economic conditions, including adjustments to product lines and marketing strategies to maintain competitiveness.
