Bed Bath & Beyond Inventories Dip As Profits Crack Under Supply Chain Pressures

Text size

Bed bath and beyond

The turnaround has come up against a triple barrage of higher prices, supply chain issues and the Delta variant. Its stock is plummeting.

Bed Bath & Beyond had seen a turnaround since CEO Mark Tritton, as the stock rose 25% in 2021 ahead of Thursday’s earnings release, ahead of the S&P 500’s 16% rise and the Dow Jones ahead of 12%. Industrial Average. Now that has been called into question after Bed Bath & Beyond (ticker: BBBY) reported adjusted earnings of four cents per share, missing the forecast of 52 cents per share, on sales of $ 1.99 billion, below forecast of $ 2.06 billion.

Bed Bath & Beyond also said it would earn between zero and five cents in the third quarter, below forecast of 28 cents, and lowered its annual forecast to a range of $ 0.70 to $ 1.10, from 1 , $ 40 to $ 1.55. The company blamed the Covid-19 Delta variant and supply chain issues for the lack.

Shares of Bed Bath & Beyond fell 25% on Thursday after the exit. Its shares had gained 25% this year through Wednesday’s close, while the

S&P 500
had increased by 16% and the

Dow Jones Industrial Average
had advanced 12%.

Company management tried to remain optimistic, noting Bed Bath & Beyond’s strong financial position and the progress it has made under Tritton, its new CEO. “While our results this quarter are below expectations, we remain confident in our multi-year transformation,” Tritton said in the company’s earnings release.

At least someone is.

Write to [email protected]