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Bath & Body Works’ Disney Collaboration Problem: Did Accessories Dilute The Fragrance Story?

Bath & Body Works reported first quarter fiscal 2026 net sales of $1.4 billion, reflecting a 3.2% decline from the prior year, though the results were slightly ahead of internal expectations. Adjusted earnings per share (EPS) of $0.32 also exceeded guidance but remain below the company’s own standards. The performance continues to exhibit pressure consistent with recent quarters, underscoring ongoing challenges in its core segments. The company reaffirmed its full-year 2026 guidance, anticipating net sales to decline between 2.5% and 4.5% and adjusted EPS to range from $2.40 to $2.65. The company highlighted progress on its multi-year Consumer First Formula strategy, aimed at repositioning Bath & Body Works for sustainable growth by introducing stronger innovation, elevating the brand, and improving channel engagement.