Bath & Body Works closes around 50 stores this year
This is not all bad news, because the retailer has established plans for a new retail strategy.
Bath & Body Works stores are a Astauille of how . There is a good chance that, if you think of your local shopping center, you will remember where the retailer's red and white checkered awnings were - or maybe you know the palette of blue and white colors updated more of the brand. These days, Bath & Body Works Works in Wick and Candles with three titles are the main attraction. However, if you take your seasonal fragrant candles in a nearby shopping center, you will want to be careful, because the retailer has just confirmed that he is closing about 50 of his stores in 2023. Read the rest to why Bath & Body Works is Closing locations, and what is the next step for beloved society.
Read this then: These are all the Walmart locations that close forever by the end of March .
Your local shopping center may soon lose its work and body work.
Like many other companies, Bath & Body Works moves away from its shopping center roots. According to comments published before its call for results in the fourth quarter on February 23, the company closes around 50 Mall stores This year . AE0FCC31AE342FD3A1346EBB1F342FCB
No additional information has been provided on closing stores, or when the closures start. Since February 2023, Bath & Body Works has had around 1,802 stores, by presentation given when the gains call.
In reference to closures, the company prefaced by saying that it "invests in our technology, distribution and logistics capacities to support our long -term growth".
Better life Contacted Bath & Body Works for more information, but has not yet heard.
There is a silver lining.
If you are a loyal buyer Bath & Body Works, you can worry about no longer having a store to go in person. After all, it is much easier to choose your favorite perfumes when you can taste them on site.
But rest assured that the closings of the shopping center are part of a wider real estate initiative. In total, the company has planned 115 projects, which include the renovation of 25 white barn candle stores (a sister brand of Bath & Body Works) and to open around 90 "new stores outside the mechanism".
When taking into account closures, the company actually increases its total area by 4%.
In relation: For more information, register for our daily newsletter .
Sales fell in the last quarter, said the company.
In a press release describing the results of the fourth quarter, Bath & Body Works confirmed that his Net sales have decreased 4.6%, compared to the same quarter in 2021. Wall Street's journal , the company expects the figures to continue For downward trend For the first half of this year.
During the call for results Thursday, Wendy Arlin , financial director of Bath & Body Works, assigned this to inflation, the drop in demand and the rise in wages (which also contributes to inflation, because companies must invoice more so that their products pay their employees), according to Wall Street's journal .
The point of sale also indicated that Bath & Body Works felt the "pressure" of one of its investors, third point, because of its financial performance. According to a letter sent to the board of directors of Bath & Body Works, Third Point maintains a 6% papé in the business. The Hedge Fund also announced its intention to appoint candidates to the Board of Directors, a decision that Bath & Body Works said " strongly disagree " with.
Bath & Body Works seeks to reduce costs.
According to the company's press release, Bath & Body Works hired a team of "external advisers to help a business top of the company", also helping the retailer to identify the means to reduce costs of 200 million dollars in 2023 and 2024.
"Although we focus in the short term on the optimization of the core business, we will continue to explore longer -term opportunities, such as the addition of new adjacent categories", CEO Gina Boswell said during the call, including Men's products , Retail Dive reported.
In the press release, Boswell also noted that Bath & Body Works also seeks to strengthen his overall position as a retailer of personal houses and care.
"We focus on expanding our customers, the creation of new fascinating products on the market and unlocking the potential of our omnichannel model, while pursuing the growth and expansion of margins in a aggressive manner," said declared Boswell. "I am very optimistic about our future and our ability to develop our business in a profitable manner and to offer value for long -term shareholders."
