Victoria’s Secret & Co. Q3 2022 Earnings Call Transcript

Martin Waters: Yes. Thanks for the question. We’re super excited about Adore Me. It’s a terrific company. When TJ and I talk about it externally, we talk about it as being a two-for-one deal. It’s like it’s a stand-alone business that is incredibly successful and growing, and pointing at the value sector of the market that we don’t currently compete in, and that gives us a great source of growth. And secondly, it’s a technology company where we can leverage some of their great capability and skill set inside of our larger base of customers. And so, there’s two very good reasons for us to be a good owner for that brand. We talked previously about there being three parts to the rationale for the deal. Number one is enhancing the customer experience in VS and PINK by leveraging the two technologies of Try On at Home and subscription businesses, and we’re going to work incredibly hard to stand those both up during the early part of 2023, assuming the deal closes as we expect it will.

And secondly, putting tech at the heart of everything that we do, that company has been built on a tech foundation, very different from the way that our company has been built. And so, working closely with Morgan and the incredible team at Adore Me we’ll find ways to bring technology to the heart of everything we do and transform the foundation of our company modernizing for the future. And then the third is just the engine for growth that it provides, particularly targeting that $7 billion segment of the market that we call value where Victoria’s and PINK don’t currently compete. So lots of good reasons for us to be a very good owner for that business, and I’m glad you asked. Thank you. I guess, all that remains is for us to wish everybody a very healthy and happy holidays, and thank you for your interest in our business.

Operator: That concludes today’s conference. Thank you for participating. You may disconnect at this time.