Victoria’s Secret delays earnings report due to security breach

Victoria’s Secret faced a setback recently, leading to the delay in the release of its quarterly earnings after a security breach disrupted its corporate operations. The well-known lingerie brand had to take down its U.S. shopping site for several days as a precautionary measure.

The incident came to light on May 24, when Victoria’s Secret detected a security breach concerning its information technology systems. In response, the company swiftly activated its incident response protocols to contain and eliminate unauthorized network access. Subsequently, on May 26, Victoria’s Secret decided to temporarily shut down its corporate systems and its online retail website, displaying a proactive stance. The outage persisted for several days, causing numerous inconveniences to customers who found the Victoria’s Secret website in the U.S. inaccessible until Thursday.

Although Victoria’s Secret did not confirm the exact nature of the incident, experts speculate that it resembled a ransomware cyberattack. Such cyber threats have become increasingly common among retailers, highlighting the need for robust cybersecurity measures. Further disrupting operations, certain in-store services at Victoria’s Secret and Pink-branded locations were temporarily suspended due to the breach. However, most of these functions have since been restored, providing a sense of relief to both the company and its patrons.

Despite progress in partially addressing the security incident, Victoria’s Secret is still in the process of restoring access to its corporate systems. This development has forced the company to postpone the announcement of its first-quarter earnings, as key information required for finalizing and releasing the financial report remains inaccessible to employees. Initial estimates for the first quarter of 2025 indicate that Victoria’s Secret expects to report $1.35 billion in net sales and $32 million in adjusted operating income, surpassing previous projections set by the company. Market analysts anticipate sales figures around $1.33 billion, on average, during the same period.

The security breach last month did not directly impact Victoria’s Secret’s first-quarter results, as it occurred after the end of the reporting period. Nonetheless, Victoria’s Secret acknowledged the need to evaluate the full extent of the incident, particularly regarding potential expenses that could affect future financial performance. As the company continues its internal assessments, no specific timeline has been provided for the rescheduled release of the first-quarter earnings report.

Victoria’s Secret remains committed to addressing the aftermath of the security incident with transparency and diligence, assuring its stakeholders that the company is actively monitoring the situation. The recent disruption serves as a reminder of the pervasive cybersecurity threats faced by modern businesses, emphasizing the critical importance of maintaining robust digital security measures across all operations.