Bed Bath & Beyond Stock Slipped 1.18% Premarket on Quarterly Loss.
Bed Bath & Beyond said it lost an adjusted 92 cents a share on revenue that slipped 22% year over year to $2.05 billion. Consensus estimates called for a per-share profit of three cents on revenue of $2.08 billion.
Same-store sales were down 12%, as comps at its flagship Bed Bath locations were off 15% while buybuy Baby notched a low-single-digit increase. Analysts were looking for an 8.5% decrease in same-store sales.
CEO Mark Tritton said that inventory and supply chain challenges were at the epicenter of the company’s issues this quarter. He notes that some 30% of inventory wasn’t available to sell, as it was trapped upstream in ports and distribution centers—a frustrating situation for management and customers.
Tritton joined Bed Bath in late 2019 after activist investors pushed for change amid mismanagement steps, and has implemented a number of changes at the company. And while these changes have improved Bed Bath’s operations, he notes the company hasn’t had enough time to fully complete its transformation, which left it vulnerable to the supply-chain problems that have been plaguing the industry. “If we were a year ahead, we’d be in a different place, but we’re not; we’re at this early stage, and that’s our current reality.”