Victoria’s Secret, the global clothing and lingerie retailer, has been significantly impacted by a recent cybersecurity attack.
The company has had to suspend most functionalities of its website and certain in-store services as a precautionary measure to address the security incident. This disruption has affected both online and physical operations, leading to potential sales loss, customer inconvenience, and reputational risk.
Victoria’s Secret, which has posted annual revenue of $6.23 billion and net income of $165 million, did not name the technology service provider, which is responsible for protecting the company from cyber security incidents.
The exact nature and scope of the cyberattack remain undisclosed, but the immediate actions taken — shutting down the website and limiting in-store services — highlight the seriousness of the breach.
The financial market reacted swiftly, with Victoria’s Secret shares dropping approximately 7 percent following the announcement, reflecting investor concerns over operational impacts and potential long-term consequences of the attack, Reuters news report said.
With around 1,350 stores in 70 countries, the attack on Victoria’s Secret underscores the vulnerability of global retail chains to cyber threats and the importance of robust cybersecurity measures in safeguarding business continuity and customer trust.
Victoria’s Secret is leveraging AI to enhance customer experience, empower store associates, and improve operational efficiency across the enterprise. Their AI initiatives aim to create seamless connections between digital and physical shopping experiences, such as allowing customers to take pictures of products for personalized recommendations.
For associates, AI reduces mundane tasks, freeing them to focus on customer service. At an enterprise level, AI supports operational efficiency in areas like supply chain, IT, and finance. Through these efforts, Victoria’s Secret is working with Google Cloud to innovate, scale, and deliver faster, more agile solutions that enhance the customer journey worldwide.
Victoria’s Secret did not reveal the likely impact on its sales during the quarter due to the cyber security incident.
Victoria’s Secret reported solid financial results for the fourth quarter and fiscal year ending February 1, 2025. Net sales for the fourth quarter were $2.106 billion, a 1 percent increase compared to $2.082 billion in the previous year. The company reported net income of $193 million, or $2.33 per diluted share, up from $181 million, or $2.29 per diluted share, in the fourth quarter of 2023.
For the full fiscal year, sales of Victoria’s Secret were $6.230 billion, a 1 percent increase compared to $6.182 billion the previous year. Net income for the year was $165 million, or $2.05 per diluted share, up from $109 million, or $1.39 per diluted share, in fiscal year 2023. Operating income for the year rose to $310 million from $246 million in the prior year.
Victoria’s Secret CEO Hillary Super expressed optimism about the company’s future, citing strong holiday performance, increased sales across brands, and successful execution in stores and online.
Baburajan Kizhakedath
