The lingerie giant's corporate parent L Brands saw a 10-percent stock surge on Thursday after Victoria's Secret said its shuttering more than 20 percent of its stores this year - or about 250 locations in the U.S. and Canada - as its sales continue to plummet.
L Brands will hold an earnings call with analysts Thursday morning.
Bath & Body Works, another L Brands retail chain, announced a 20 percent increase in sales, as consumers raced to by soap and sanitizer amid the pandemic.More news: Trump threatens funds for states easing voting in pandemic
L Brands announcement comes days after Pier 1 Imports announced it was closing all its stores permanently, and after JC Penney announced it was filing for bankruptcy. Most of its physical stores between the two brands have been closed since mid-March because of the pandemic.
Victoria's Secret has 1,091 stores in the U.S. and Canada with 909 U.S. Victoria's Secret stores and 144 Pink stores. The Ohio retail company's sales declined by almost 40% for the first quarter of 2020. There are now 1,635 stores in the U.S.
L Brands said its overall sales for the three months ended May 2 fell 37 percent compared with a year ago.More news: Podcaster Joe Rogan Just Struck a $100M Deal
According to a commentary that accompanied the company's first-quarter earnings report, 13 of its 38 Victoria's Secret stores in Canada will be closed with the remaining closures taking place in the U.S.
The company will not provide a second-quarter or full-year outlook due to the pandemic and anticipates the majority of its shops to reopen by the end of July.
At Victoria's Secret, total sales tumbled 46% to $821.5 million.More news: Google Meet crosses 50 million mark in Google Play Store downloads