Bed Bath & Beyond (BBBY) - Get Bed Bath & Beyond Inc. Report posted softer-than-expected first quarter earnings Wednesday, but boosted its full-year profit guidance as same-store sales expanded for the fourth consecutive quarter under the turnaround plans of CEO Mark Tritton.
Bed Bath & Beyond said adjusted earnings for the three months ending in May, the group's fiscal second quarter, came in at $5 cents per share, up from a loss of $1.96 over the same period last year but just shy of the Street consensus forecast of 8 cents per share. Group revenues, Bed Bath & Beyond said, rose 48.8% to $1.95 billion, topping analysts' estimates of a $1.87 billion tally.
Looking into the 2022 fiscal year, which ends in February, Bed Bath & Beyond said it sees net sales in the region of $8 billion to $8.2 billion and adjusted earnings of between $1.40 to $1.55 per share, or $520 million to $540 million.
"We have started the year in a position of strength and are clearly on track to accomplish our goals. 2021 marks the first year of our three-year transformation following the groundwork we laid in 2020 – a year of historic and necessary change for this organization against the backdrop of unprecedented challenges due to COVID-19," Tritton said. "For the first quarter, we delivered our fourth consecutive quarter of comparable sales growth with gross margin expansion exceeding our expectations. These results demonstrate continued momentum with our strategies as we progress towards the goals we outlined at year-end and at our Investor Day."
"We have made meaningful progress against our transformational pillars during this early stage of our multi-year plan," he added. "We are a stronger, more agile company than ever before and well on our way to building long-term growth and unlocking greater shareholder value."
Bed Bath & Beyond shares were marked 7.5% higher in active in early trading immediately following the earnings release to change hands at $32.17 each.