Bed Bath & Beyond Inc (NASDAQ: BBBY) opened 20% down this morning on broadly disappointing results for its fiscal Q1. The retailer also revealed that it was replacing CEO Mark Tritton.
Bed Bath & Beyond Q1 financial highlights
- Lost $357.7 million in the first quarter versus the year-ago figure of $50.9 million
- Per-share loss of $4.49 was significantly up from 48 cents in Q1 of previous year
- On an adjusted basis, per-share loss stood at $2.83 in the recent financial quarter
- Sales tanked 25% YoY to $1.463 billion, as per the earnings press release
- Consensus was for $1.39 of adjusted per-share loss on $1.513 billion in sales
- Comparable sales were down 23% versus experts’ forecast of a 20.1% decline
According to the American chain of domestic merchandise retail stores, comparable sales will likely recover in the back half of its fiscal 2022. Adjusted gross margin took an 840 basis points hit to come in at 23.8%.
Sue Gove to serve as the interim CEO
Bed Bath & Beyond named Sue Gove (independent director) as the interim CEO on Wednesday. In the press release, Gove said:
Our Q1 results are not up to our expectations, nor are they reflective of the Company’s true potential. The initiatives we are instituting today are just the first steps in putting our business on firm footing to drive our future success.
Mara Sirhal (SVP at Harmon Face Values), it added, will replace Joe Hartsig as the Chief Merchandising Officer. The Union-headquartered company is evaluating options for BuyBuy Baby.
The post Bed Bath & Beyond stock opens 20% down: explained here appeared first on Invezz.
Source: https://invezz.com/news/2022/06/29/bed-bath-beyond-stock-opens-20-down-explained-here/