- Shares of Bed Bath & Beyond plunged more than 19% in regular trading Thursday.
- The retailer reported earnings and revenue that fell short of Wall Street’s expectations on Wednesday.
- Bed Bath & Beyond also withdrew its fiscal 2019 outlook, saying that it would reveal its strategic plans in early 2020.
Bed Bath & Beyond shares tanked 19% in regular trading Thursday after the retailer withdrew its fiscal 2019 outlook in after-hours trading on Wednesday.
The company said that it would reveal its strategic plans in early 2020, leaving investors with little guidance on how the company will improve its business.
Bed Bath & Beyond on Wednesday also reported third-quarter earnings and revenue that fell short of Wall Street’s expectations. Its results were “significantly impacted” by Thanksgiving falling later than usual in 2019, resulting in one less week of holiday sales for the retailer, the company said.
Bed Bath & Beyond will delay closing 20 of its namesake stores as well. The retailer, which also owns Buy Buy Baby and Christmas Tree Shops, originally planned to close 60 locations, including 40 Bed Bath & Beyond stores, in fiscal 2019. Bed Bath & Beyond has roughly 1,500 locations in total.
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CEO Mark Tritton, who took the helm in November, called the results “unsatisfactory” in a statement and said that the company has to create a durable business model for long-term profitable growth.
Bed Bath & Beyond’s sales have slumped as businesses such as Amazon, Walmart and Target offer consumers speedy shipping and strong e-commerce platforms. Bed Bath & Beyond carries many of the same items as these retail giants, forcing the company to actively pursue adjustments to its portfolio in order to compete.