Victoria's Secret is taking significant steps to offset rising costs imposed by tariffs, leading to a reduction in discounts and promotional gifts. The company anticipates a $50 million decline in operating income in 2025, strongly influenced by tariffs set by the Trump administration. CFO Scott Sekella emphasized a focus on optimizing promotions and a case-by-case approach to pricing adjustments, while mentioning the challenges consumers will experience as promotional offers diminish. The company is seeking alternative suppliers to mitigate the tariff impact further.
The thing we're doing, first and foremost, is optimizing our promos," CFO Scott Sekella said during the company's earnings call on Wednesday when asked by an analyst about whether the company plans to increase prices as a result of tariffs.
Sekella said customers will likely see "more headwinds" on gift-with-purchase deals at Victoria's Secret stores during the next several months.
Collection
[
|
...
]