The lingerie giant beat analysts’ estimates for its earnings and sales in the quarter ending January 29, 2022, garnering $2.175 billion in revenue and $246.1 million in net earnings. Sales increased 4 percent compared to the same period in 2020, but fell below the $2.28 billion it posted in the fourth quarter of 2019 under L Brands, before it was spun off as a separate entity.

The company warns that it might encounter challenges in 2022, however, due to inflation.

“We are keenly aware 2022 will present continued challenges for retailers in this inflationary environment,” chief executive Martin Waters said in a statement. “However, we have a very resilient, dedicated team and strategy prepared to meet these challenges head-on by focusing on the customer journey, being ‘best at bras’, prioritizing people and planet, and launching new initiatives for future growth.”

For the full year 2021, Victoria’s Secret saw $6.8 billion in net sales, reflecting an uptick of 25 percent compared to 2020. Comparable sales, too, rose 3 percent. In the coming year, the company predicts sales to be flat year-on-year or increase in the low single digits. It projects that operating income will remain the same.

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