Bed Bath & Beyond (NASDAQ:BBBY) said Wednesday its sales tumbled nearly 50% during its latest quarter, even as online sales surged more than 100% during April and May, with consumers stocking up on cleaning supplies and home decor.
The company said it plans to permanently close roughly 200 of its namesake stores over the next two years, starting later in 2020, as it works toward getting back to profitability against the backdrop of the coronavirus pandemic. As of May 30, BBBY operated a total of 1,478 stores, including 955 Bed Bath & Beyond shops.
Bed Bath — which also owns the chains Buybuy Baby, Christmas Tree Shops and Harmon Face Values — said these actions should generate annual cost savings of between $250 million and $350 million, excluding related one-time costs.
Bed Bath said its net loss narrowed to $302.29 million, or $2.44 per share, from $371.09 million, or $2.91 a share, a year ago.
Excluding one-time items, it had a loss of $1.96 per share.
Sales fell 49% to $1.31 billion from $2.57 billion a year ago, as the retailer’s stores were temporarily forced shut for much of the quarter like many other companies, to try to help curb the spread of COVID-19.
Analysts were calling for Bed Bath to report an adjusted loss of $1.22 per share on revenue of $1.39 billion
BBBY tumbled $1.72, or 16.5%, to $8.68.
