Bath & Body Works has revised its annual outlook downward, citing weak consumer demand for its scented candles and fragrances and rising operational costs. This announcement triggered a significant 15% drop in the company’s premarket stock price.
The company now projects that its 2025 net sales will decline by low single digits. This is a stark reversal from its previous forecast, which anticipated sales growth in the range of 1.5% to 2.7%. Furthermore, Bath & Body Works has substantially reduced its fiscal 2025 earnings per share (EPS) forecast. The new EPS guidance is set at a minimum of $2.87, down sharply from the prior forecast range of $3.35 to $3.60.