EX-99.1 2 segmentsannual.htm EXHIBIT 99.1
EXHIBIT 99.1 L BRANDS, INC. AND SUBSIDIARIES RESULTS BY SEGMENT YEAR-TO-DATE Q2 2020 Unaudited $ (In thousands) Effective in the third quarter of 2020, the Company now has two reporting segments: 1) Bath & Body Works and 2) Victoria's Secret. As a result, the following key reclassifications for segment reporting were made: - The Victoria's Secret and Bath & Body Works International segment results are now reported in their respective brand segment. - The Victoria's Secret and Bath & Body Works sourcing and production functions (formerly known as Mast Global) and certain other corporate functions that directly support a specific brand are now reported in their respective brand segment. Net Sales Historical Segment Presentation Segment Reclasses Recasted Segment Presentation Add-back: Adjustments for Victoria's Secret Bath & Body Works Other Adjustments for Actual Special Items Adjusted International 1 International 2 Category 3 Adjusted Special Items Actual Victoria's Secret$ 1,799,082 $ - $ 1,799,082 $ 117,020 $ - $ 43,839 $ 1,959,941 $ - $ 1,959,941 Bath & Body Works 1,909,350 - 1,909,350 - 28,365 76,019 2,013,734 - 2,013,734 Victoria's Secret and Bath & Body Works International 145,385 - 145,385 (117,020) (28,365) - - - - Other 4 119,858 - 119,858 - - (119,858) - - - L Brands$ 3,973,675 $ - $ 3,973,675 $ - $ - $ - $ 3,973,675 $ - $ 3,973,675 Operating Income (Loss) Historical Segment Presentation Segment Reclasses Recasted Segment Presentation Add-back: Adjustments for Victoria's Secret Bath & Body Works Other Adjustments for Actual Special Items Adjusted International 1 International 2 Category 3 Adjusted Special Items Actual Victoria's Secret$ (440,363) $ 198,320 $ (242,043) $ (62,293) $ - $ (38,021) $ (342,355) $ (228,902) $ (571,257) Bath & Body Works 394,716 5,307 400,023 - 14,135 10,177 424,335 (11,654) 412,681 Victoria's Secret and Bath & Body Works International (53,923) 5,765 (48,158) 62,293 (14,135) - - - - Other 4 (174,089) 49,081 (125,008) - - 27,844 (97,166) (17,917) (115,082) L Brands$ (273,659) $ 258,473 $ (15,186) $ - $ - $ - $ (15,186) $ (258,473) $ (273,659) Notes: 1. Combines Victoria's Secret International with Victoria's Secret North America. 2. Combines Bath & Body Works International with Bath & Body Works North America. 3. Combines Victoria's Secret and Bath & Body Works sourcing and production functions (formerly known as Mast Global) and other home office costs with the respective brand segment. 4. Remaining Net Sales and Operating Income (Loss) for Other relates to corporate unallocated costs. As previously disclosed in our periodic filings on Form 10-K and Form 10-Q, the "Adjustments for Special Items" column includes the following: ˙ An $172 million charge related to the impairment of Victoria’s Secret store and lease assets in North America and a $42 million charge related to the impairment of Victoria’s Secret store and lease assets outside of North America. ˙ An $81 million charge related to headcount reductions as a result of restructuring actions. ˙ A $36 million gain related to the closure and termination of our lease and the related liability for the Victoria’s Secret Hong Kong flagship store.

L BRANDS, INC. AND SUBSIDIARIES RESULTS BY SEGMENT FISCAL YEAR 2019 Unaudited $ (In thousands) Effective in the third quarter of 2020, the Company now has two reporting segments: 1) Bath & Body Works and 2) Victoria's Secret. As a result, the following key reclassifications for segment reporting were made: - The Victoria's Secret and Bath & Body Works International segment results are now reported in their respective brand segment. - The Victoria's Secret and Bath & Body Works sourcing and production functions (formerly known as Mast Global) and certain other corporate functions that directly support a specific brand are now reported in their respective brand segment. Net Sales Historical Segment Presentation Segment Reclasses Recasted Segment Presentation Add-back: Adjustments for Victoria's Secret Bath & Body Works Other Adjustments for Actual Special Items Adjusted International 1 International 2 Category 3 Adjusted Special Items Actual Victoria's Secret$ 6,804,516 $ - $ 6,804,516 $ 536,216 $ - $ 168,042 $ 7,508,774 $ - $ 7,508,774 Bath & Body Works 5,170,493 - 5,170,493 - 63,752 121,420 5,355,665 - 5,355,665 Victoria's Secret and Bath & Body Works International 599,967 - 599,967 (536,216) (63,752) - - - - Other 4 339,259 - 339,259 - - (289,462) 49,797 - 49,797 L Brands$ 12,914,236 $ - $ 12,914,236 $ - $ - $ - $ 12,914,236 $ - $ 12,914,236 Operating Income (Loss) Historical Segment Presentation Segment Reclasses Recasted Segment Presentation Add-back: Adjustments for Victoria's Secret Bath & Body Works Other Adjustments for Actual Special Items Adjusted International 1 International 2 Category 3 Adjusted Special Items Actual Victoria's Secret$ (616,057) $ 730,706 $ 114,649 $ (26,784) $ - $ 103,086 $ 190,951 $ (972,493) $ (781,542) Bath & Body Works 1,191,270 - 1,191,270 - 32,956 (451) 1,223,775 - 1,223,775 Victoria's Secret and Bath & Body Works International (235,615) 241,787 6,172 26,784 (32,956) - - - - Other 4 (81,153) - (81,153) - - (102,634) (183,787) - (183,787) L Brands$ 258,446 $ 972,493 $ 1,230,939 $ - $ - $ - $ 1,230,939 $ (972,493) $ 258,446 Notes: 1. Combines Victoria's Secret International with Victoria's Secret North America. 2. Combines Bath & Body Works International with Bath & Body Works North America. 3. Combines Victoria's Secret and Bath & Body Works sourcing and production functions (formerly known as Mast Global) and other home office costs with the respective brand segment. 4. Remaining Net Sales and Operating Income (Loss) for Other relates to corporate unallocated costs, Henri Bendel and La Senza. As previously disclosed in our periodic filings on Form 10-K and Form 10-Q, the "Adjustments for Special Items" column includes the following: ˙ A $720 million charge related to the impairment of Victoria’s Secret goodwill ($690 million related to Victoria's Secret North America and $30 million related to Victoria's Secret International). ˙ A $211 million charge related to the impairment of Victoria’s Secret store and lease assets outside of North America and a $41 million charge related to the impairment of Victoria’s Secret store and lease assets in North America.

L BRANDS, INC. AND SUBSIDIARIES RESULTS BY SEGMENT FISCAL YEAR 2018 Unaudited $ (In thousands) Effective in the third quarter of 2020, the Company now has two reporting segments: 1) Bath & Body Works and 2) Victoria's Secret. As a result, the following key reclassifications for segment reporting were made: - The Victoria's Secret and Bath & Body Works International segment results are now reported in their respective brand segment. - The Victoria's Secret and Bath & Body Works sourcing and production functions (formerly known as Mast Global) and certain other corporate functions that directly support a specific brand are now reported in their respective brand segment. Net Sales Historical Segment Presentation Segment Reclasses Recasted Segment Presentation Add-back: Adjustments for Victoria's Secret Bath & Body Works Other Adjustments for Actual Special Items Adjusted International 1 International 2 Category 3 Adjusted Special Items Actual Victoria's Secret$ 7,374,864 $ - $ 7,374,864 $ 552,399 $ - $ 175,494 $ 8,102,758 $ - $ 8,102,758 Bath & Body Works 4,631,020 - 4,631,020 - 52,885 91,628 4,775,532 - 4,775,532 Victoria's Secret and Bath & Body Works International 605,284 - 605,284 (552,399) (52,885) - - - - Other 4 625,710 - 625,710 - - (267,122) 358,589 - 358,589 L Brands$ 13,236,878 $ - $ 13,236,878 $ - $ - $ - $ 13,236,878 $ - $ 13,236,878 Operating Income (Loss) Historical Segment Presentation Segment Reclasses Recasted Segment Presentation Add-back: Adjustments for Victoria's Secret Bath & Body Works Other Adjustments for Actual Special Items Adjusted International 1 International 2 Category 3 Adjusted Special Items Actual Victoria's Secret$ 462,288 $ 50,120 $ 512,408 $ (33,422) $ - $ 119,673 $ 598,661 $ (80,878) $ 517,783 Bath & Body Works 1,077,454 - 1,077,454 - 26,845 (1,211) 1,103,086 - 1,103,086 Victoria's Secret and Bath & Body Works International (37,335) 30,758 (6,577) 33,422 (26,845) - - - - Other 4 (265,620) 119,552 (146,068) - - (118,462) (264,530) (119,552) (384,082) L Brands$ 1,236,787 $ 200,430 $ 1,437,217 $ - $ - $ - $ 1,437,217 $ (200,430) $ 1,236,787 Notes: 1. Combines Victoria's Secret International with Victoria's Secret North America. 2. Combines Bath & Body Works International with Bath & Body Works North America. 3. Combines Victoria's Secret and Bath & Body Works sourcing and production functions (formerly known as Mast Global) and other home office costs with the respective brand segment. 4. Remaining Net Sales and Operating Income (Loss) for Other relates to corporate unallocated costs, Henri Bendel and La Senza. As previously disclosed in our periodic filings on Form 10-K and Form 10-Q, the "Adjustments for Special Items" column includes the following: A $99 million loss on the sale of La Senza to an affiliate of Regent LP. ˙ A $50 million charge related to the impairment of Victoria’s Secret store assets in North America and a $31 million charge related to the impairment of Victoria’s Secret store assets outside of North America. ˙ $20 million of Henri Bendel closure costs. ˙