COLUMBUS, Ohio (AP) -- Retailer Limited Brands Inc. said Wednesday that its net income fell 38 percent in the second quarter compared to a year ago, when it received a large gain following a charitable donation.
The company also raised its earnings guidance for the year, although it expects a weak third quarter.
Net income fell to $143.6 million, or 49 cents per share, from $231.2 million, or 73 cents per share. Limited, which owns Bath & Body Works and the lingerie chains Victoria's Secret and La Senza, contributed its shares in Express Inc. to the Limited Brands Foundation in the year-ago quarter. That deal resulted in a gain of 25 cents per share after expenses.
Excluding one-time items the company said it earned 50 cents per share in the most recent quarter. Revenue fell 2 percent, to $2.4 billion, impacted by the sale of its apparel sourcing business in November. That business contributed $216.6 million in revenue in the year-ago quarter.
Analysts were expecting net income of 48 cents per share and $2.4 billion in revenue, according to FactSet.
The company said sales at locations open at least a year grew 8 percent. Those same-store sales are considered a key measurement of retailer health because they exclude results from stores that opened or closed within the last year.
Limited Brands now expects to earn $2.73 to $2.88 per share in 2012. Its previous estimate was $2.63 to $2.83 per share. Analysts are forecasting net income of $2.85 per share on average.
The company estimates adjusted income of 15 to 20 cents per share in the third quarter, below the average analyst estimate of 24 cents per share.
Shares of Limited Brands rose 8 cents to close at $48.99.