A man was spotted at a Bed Bath & Beyond store in New York on January 5, 2023.
Ziyu Julian Zhu | Xinhua News Agency | Getty Images
Bed Bath & Beyond On Tuesday, it posted a larger-than-expected quarterly loss as its chief executive admitted the struggling retailer’s turnaround plan was falling short of its targets.
days after company warn of possible bankruptcy It painted an even more dire picture of its finances. Bed Bath said he lost $393 million during the period, worse than last week’s projected quarterly loss of $385.8 million, a 42% increase from his loss a year earlier. Did.
Bed Bath’s net loss exceeded $1.12 billion in the first nine months of the fiscal year.
As the home goods retailer fights to stay in business, these mounting losses are failing its turnaround strategy. As we phase out some of our own brands, we want to bring back more domestic brands and popular products. But Bed Bath’s financial situation has shaken suppliers, who have changed payment terms and stopped shipping goods, leaving store shelves even more empty than usual.
CEO Sue Gove said Tuesday that the company is working to address the cascading financial problems in a “timely manner.”she echoed Company news release He spoke on the earnings call for about 10 minutes and declined the analyst’s question.
Bed Bath did not share sales trends for the holiday season, which falls into the company’s fiscal fourth quarter. Gove said Bed Bath used the money he earned in December to stock up.
Here’s how the retailer did it Three months It closed on Nov. 26 compared to what analysts had expected based on Refinitiv data.
- Loss per share: $3.65 adjusted vs. $2.23 expected
- Revenue: $1.26 billion vs. $1.34 billion forecast
The retailer includes 3 banners. That baby goods chain, Buybu Baby. And that health and beauty banner, Harmon.
Comparable sales for the Bed Bath & Beyond business as a whole decreased 32%. Comparable sales for the banner of the same name fell by 34%. Comparable sales for Buybuy Baby fell in the low 20% range. Comparable sales trends for health and beauty chain Harmon have not been identified.
Net sales of $1.26 billion decreased approximately 33% from $1.88 billion in the prior year period.
Last week, the company previewed its third-quarter net sales and net loss. With the warning of “Going Concern”As it struggles to attract customers to its stores and turn around declining sales, it risks running out of funds to cover expenses, the filing said.
The company’s market value fell to just $142.8 million. Still, the company’s shares rose nearly 10% in premarket trading on Tuesday.
“We made quick and effective changes to our assortment and other merchandising and marketing strategies, but limited inventory fell short of our goals,” Gove said in a release on Tuesday.
Still, retailers are making progress, she said. The company will aggressively cut costs and close 150 of her previously announced stores. Operating expenses fell from $698 million last year to $583.6 million.
“Our organization is more streamlined, with a more focused infrastructure that reflects our current business,” said Gove.
https://www.cnbc.com/2023/01/10/bed-bath-beyond-bbby-q3-2023-earnings.html Bed Bath & Beyond (BBBY) Q3 2023 Financial Results