Limited Brands (NYSE: LTD ) reported earnings on Nov. 14. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Oct. 27 (Q3), Limited Brands met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped and GAAP earnings per share shrank significantly.
Gross margins grew, operating margins expanded, net margins contracted.
Limited Brands tallied revenue of $2.05 billion. The 19 analysts polled by S&P Capital IQ looked for a top line of $2.05 billion on the same basis. GAAP reported sales were 5.7% lower than the prior-year quarter's $2.17 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.26. The 21 earnings estimates compiled by S&P Capital IQ forecast $0.24 per share. GAAP EPS of $0.25 for Q3 were 19% lower than the prior-year quarter's $0.31 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 40.2%, 410 basis points better than the prior-year quarter. Operating margin was 9.1%, 50 basis points better than the prior-year quarter. Net margin was 3.6%, 70 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $3.79 billion. On the bottom line, the average EPS estimate is $1.76.
Next year's average estimate for revenue is $10.38 billion. The average EPS estimate is $2.90.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 567 members out of 668 rating the stock outperform, and 101 members rating it underperform. Among 224 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 205 give Limited Brands a green thumbs-up, and 19 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Limited Brands is outperform, with an average price target of $52.70.
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