Victoria's Secret & Co. is forecasting its best year since splitting from L Brands, projecting revenue of at least $6.85 billion for the current fiscal year. This outlook exceeds Wall Street expectations of $6.77 billion and would mark the highest sales in seven years for the lingerie retailer.

The company has rebounded from a prolonged slump marked by intensifying competition and struggles to modernize its image. Under CEO Hillary Super's leadership, Victoria's Secret is revitalizing its business through renewed focus on bras and the Pink brand targeting younger consumers. The retailer is also expanding its beauty business while developing products more quickly and reducing markdown reliance.

This optimistic forecast comes as Victoria's Secret stock has more than quadrupled from last year's low point, with shares rising 11% year-to-date and outperforming the Russell 2000 Index. The company has now posted three consecutive quarters of revenue growth, with sales for the period ending in January also beating expectations.