Bath & Body Works, Inc. (NYSE:BBWI) Q2 2022 Earnings Conference Call August 18, 2022 9:00 AM ET Company Participants Wendy Arlin - Chief Financial Officer Sarah Nash - Executive Chair & Interim Chief Executive Officer Julie Rosen - President Conference Call Participants Lorraine Hutchinson - Bank of America Jesse Sobelson - Wells Fargo Simeon Siegel - BMO Capital Markets Alex Straton - Morgan Stanley Leah Jordan - Goldman Sachs Olivia Tong - Raymond James Stephanie Wissink - Jefferies Alec Legg - B. Riley M ...

Bath&BodyWorks® Second Quarter Earnings Presentation August 17, 2022 Forward Looking Statements Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995 • We caution that any forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995) contained in this presentation or made by our company or our management involve risks and uncertainties and are subject to change based on various factors, many of which are beyond our control. Accordingl ...

Bath & Body Works, Inc. (NYSE:BBWI) Q1 2022 Results Conference Call May 19, 2022 9:00 AM ET Company Participants Wendy Arlin - CFO Sarah Nash - Executive Chair of the Board and Interim CEO Julie Rosen - Brand President Conference Call Participants Ike Boruchow - Wells Fargo Alex Straton - Morgan Stanley Lorraine Hutchinson - Bank of America Grace Menk - Jefferies Simeon Siegel - BMO Capital Markets Jonna Kim - Cowen Matthew Boss - JPMorgan Janet Kloppenburg - JJK Research Associates Operator Good morning. M ...

Workforce and Diversity - As of January 29, 2022, the company employed approximately 56,900 associates, with 48,100 being part-time[38] - Women make up approximately 90% of the workforce and 44% of the Board of Directors[38] - In 2021, 89% of associates participated in an engagement survey, achieving an 85% favorable engagement rate[42] - The company hosted 70 virtual events with approximately 10,000 attendees during fiscal year 2021[39] - The company received a perfect score of 100% on the Human Rights Campaign's Corporate Equality Index for the fifth consecutive year[39] - The company offers 14 weeks of paid maternity leave and six weeks of paid paternity leave[40] - The company expanded mental health benefits to include both full-time and ongoing/non-seasonal part-time associates and their dependents in 2021[41] - The company is committed to equal opportunity and treatment for all associates, conducting periodic assessments of pay equity based on gender, race, and ethnicity[39] - The company has Inclusion Resource Groups for various demographics, enhancing workplace inclusivity[39] Business Operations and Challenges - The COVID-19 pandemic has adversely affected the company's business and results of operations, with reduced consumer confidence impacting store traffic and supply chain disruptions due to labor shortages and transportation issues[55] - The company experienced significant seasonal fluctuations in net sales and operating income, with a substantial portion typically realized during the fourth quarter holiday season[56] - The separation of Bath & Body Works and Victoria's Secret businesses has made the company smaller and less diversified, increasing vulnerability to market changes and potentially impacting financial performance[57] - The company relies heavily on information technology systems provided by Victoria's Secret & Co., and any inadequacies or interruptions during the transition could adversely affect operations[60] - The company faces challenges in attracting and retaining qualified associates, which could delay new store openings and increase labor-related costs[62] - The company’s net sales are sensitive to economic conditions, consumer spending patterns, and external factors such as political instability and health hazards[54] - Future growth is dependent on the ability to open new stores and remodel existing ones, with risks associated with site selection and integration into operations[66] - International expansion plans carry risks including unfamiliarity with local markets and potential competition, which could disrupt operations and increase costs[68] Financial Performance - Net sales for the fiscal year ended January 29, 2022, were $7,882 million, an increase of 22.6% compared to $6,434 million in 2020[242] - Gross profit for the same period was $3,855 million, representing a gross margin of approximately 48.9%[242] - Operating income increased to $2,009 million, up 25.3% from $1,604 million in 2020[242] - Net income from continuing operations was $1,075 million, a 24.3% increase from $865 million in the previous year[242] - The company reported a net income of $1,333 million for the fiscal year, compared to $844 million in 2020[242] - Basic earnings per share from continuing operations rose to $4.00, up from $3.11 in 2020[242] Debt and Financial Obligations - The company has substantial indebtedness, and failure to comply with covenants could result in an event of default, impacting financial condition[98] - The transition from LIBOR to SOFR may affect interest rates on borrowings under the asset-backed revolving credit facility, with potential implications for future debt servicing costs[101] - As of January 29, 2022, the principal value of the company's outstanding publicly traded debt was $4,915 million, with an estimated fair value of $5,493 million[219] - The company has a total of $4.298 billion in long-term debt maturing thereafter 2026[325] Compliance and Regulatory Risks - The company is subject to various laws and regulations regarding data privacy and security, which could adversely affect its reputation and financial condition[102] - The California Consumer Privacy Act (CCPA) went into effect on January 1, 2020, requiring companies to provide new disclosures and data protection rights to California consumers[102] - The California Privacy Rights Act (CPRA), effective January 1, 2023, imposes additional obligations on companies and expands rights for California residents regarding sensitive personal information[102] - The company faces significant costs related to compliance with evolving data privacy laws, which may increase over time and impact its operations[103] Market and Competitive Environment - The retail industry is highly competitive, with the company competing against various retailers, including online channels[78] - The company’s operations are susceptible to local and regional disruptions due to geographic concentration of vendor and distribution facilities[84] - The company may incur significant tax liabilities related to the spin-off of Victoria's Secret & Co., which could impact financial condition[59] Environmental and Operational Risks - The company may face increased costs and operational risks due to climate change and related environmental issues[75] - The company relies on third-party vendors for product sourcing, which exposes it to risks such as production delays and quality issues that could disrupt merchandise deliveries[86] - The company is exposed to foreign currency exchange rate risks, which could materially affect its results of operations and financial condition[87] Strategic Initiatives - Future strategies include continued market expansion and potential new product development to drive growth[242] - The company has established an ESG function to coordinate environmental, social, and governance initiatives, which may influence its reputation and brand value[74]

Bath & Body Works, Inc. (NYSE:BBWI) Q4 2021 Earnings Conference Call February 24, 2022 9:00 AM ET Company Participants Wendy Arlin - CFO Andrew Meslow - CEO Amie Preston - SVP of IR Sarah Nash - Executive Chair Conference Call Participants Roxanne Meyer - MKM Partners Stephanie Wissink - Jefferies Simeon Siegel - BMO Capital Markets Kimberly Greenberger - Morgan Stanley Ike Boruchow - Wells Fargo Lorraine Hutchinson - Bank of America Mark Altschwager - Baird Matthew Boss - JPMorgan Jay Sole - UBS Omar Saad ...