The Performance Of L B, The Parent Company Of Vitoria, Has Been Lower Than Expected, Leading To High-Level Personnel Turbulence.

U.S.A Underwear brand Victoria The performance of L Brands group, the secret parent company, has been lower than analysts' expectations, and analysts have lowered the expected target of L Brands group.

Analysts' lower expectations are attributable to changes in Vitoria's secret business strategy. brand Sales decline. Victoria will be divided into three business sectors, including the Victoria underwear section, the young series Pink division and the Victoria beauty makeup division, and will sell the three series products on its e-commerce platform.

At present, the Jan Singer is the manager of the Victoria underwear division. She joined the L Brands group in September last year. She served as the Spanx CEO of the underwear brand in the United States. She also served as a 10 year senior executive in Nike company. The Greg Unis is responsible for the Victoria beauty makeup division. This month, he just switched from the American luxury brand Coach to L Brands group. He is the global director of menswear division in Coach company. The young Pink series continues to be managed by Denise Landman. They report directly to L Brands chairman and CEO Leslie Wexner.

The company announced that it will stop selling swimsuits, shoes and accessories at the end of 2016. Last year, the business of Wei Mi swimsuit business was about $500 million, accounting for about 6.5% of the total turnover. In August, the company's report showed that the swimwear category had a low turnover. According to company insiders, reducing the swimwear line will reduce the company's profits, because the inventory needs to be discounted to sell the remaining products. In addition, the company is greatly reducing the use of traditional catalogues and coupons, which proves that directory sales do not bring significant profits to the company.

At present, the group has withdrawn its right to operate in China. The Group expects to slow down its business in China when the company rearranges its management of China's business. Wei Mi opened the first underwear flagship store in mainland China in the first half of this year in Huaihailu Road, Shanghai, and was run by L Brands, the parent company of Wei MI. Before, Victoria store in Hongkong, Shanghai, Guangzhou and other places retail store is not directly operated by L Brands, but by Malaysia Valiram Group Agency, and these stores only sell perfume, beauty products and accessories, not including underwear.

According to the group earnings report, as of April 30, 2016, L Brands group's net sales increased by 2% to $737 million 500 thousand, while same store sales increased by 1%. Last year, its net sales amounted to US $724 million for the four weeks ended May 2nd. By brand, Vitoria's secret store sales fell 1% in April, and Bath&Body Works grew by 5%. Previously, Reuters predicted that Vitoria's secret will grow by 4%, while Bath&Body Works will rise by 6.1%, and its performance is lower than analysts' expectations.

In the first quarter of April 30, 2016, group net sales increased by 4% to $2 billion 614 million, while same store sales increased by 3%. Last year, in the first quarter of May 2nd, group sales amounted to $2 billion 512 million. According to the brand, the total sales volume in the first quarter of this year was $1 billion 740 million, while Bath&Body Works was $660 million. The sales of the two brands dropped by 39% in the international market, which was mainly affected by the negative economic conditions in the Middle East and Turkey.