What Drove Bath & Body Works' Q1 Margins Despite Tariff Pressures?

Key Takeaways Gross profit for BBWI rose 6.6% to $646M, with gross margin up 160 bps year over year to 45.4%. Mix-adjusted AUR growth and cost optimization drove a 100-bps merchandise margin improvement. Operating income climbed 11.8% to$ 209M, as operating margin expanded 120 bps to 14.7%.Bath & Body Works (BBWI) delivered a solid start to fiscal 2025, driven by enhanced merchandise margins and disciplined cost control. The company reported a gross profit of $646 million for the first quarter of fiscal 2 ...