Bed Bath & Beyond posts solid quarter, but 2Q outlook underwhelms

Kara Cox, Retail Editor 3, June 21, 2012

Union, N.J. - Bed Bath & Beyond's first quarter net income rose 14.5% to $206.8 million, with earnings per share up 24% to 89 cents.
Sales for the quarter ended May 26 increased 5.1% to $2.2 billion, and the company said sales have shifted toward lower-priced goods. Comps were up 3.0% on top of a 7.0% bump in the year-ago quarter.
The company also projected second quarter EPS of 97 cents to $1.03. Wall Street had been expecting guidance closer to $1.08 and expressed its displeasure by sending the retailer's stock price down 15% by late morning.
Executives were characteristically terse during the company's quarter conference call yesterday evening.
Leonard Feinstein, co-chairman, said that excluding the 259-store Cost Plus chain the company is in the process of acquiring, executives see the opportunity to operate more than 1,300 Bed Bath & Beyond stores in the United States and Canada. There are currently 1,185 BBB stores.
In addition, the company plans to expand the 72-unit Christmas Tree Shops and the 71-unit buybuy Baby nameplate "from coast to coast," he said. Bed Bath & Beyond also plans to expand the 45-store Harmon/Harmon Face Values discount health & beauty chain, although Feinstein did not provide a target number for that concept.

 

Research Store

Featured Video

Subscribe to
Home Textiles Today eDaily
Receive the news you need to know about the trends in the industry delivered right to your inbox.

Most Viewed Articles

CURRENT ISSUE

HTT November 2017 cover

See the November 2017 issue of Home Textiles Today. In this issue, we look at Complex Colors, Complex Times--Trend forecasters and interior designers weigh in on 2018 palettes and motifs.  Other articles include: Data: Exclusive HTT soft window research; Innovation: Material Changes conference preview; Country report: India invests in the future and Fabrics: Showtime preview.  See details!