Bed, Bath & Beyond’s growth plans have become more diverse, and, at its annual meeting held today in Morristown, NJ, the company touted investments to its online infrastructure that will make it into a better integrated multi-channel operator. Steven Temares, the company’s CEO, told HomeWorld Business that, besides new operations, the company will continue to integrate merchandising ideas from one of its chains to others, as in the addition of Harmon health and beauty sections and Cost Plus World Market departments in Bed, Bath & Beyond stores.
Its ability to do that largely rests on superior store management, he said, which effectively executes, monitors and adjusts to circumstances on the local level.
Temares also said that the transition of buying offices from Long Island to the company’s Union, NJ, headquarters had cost the company some good employees but had brought in fresh thinking as Bed, Bath & Beyond replaced headquarters staff. The move also has helped communications in a way that makes planning and operations more efficient, he said.
Customers have begun to see the results of action online, said Len Feinstein, Bed, Bath & Beyond co-chairman. This month, the company launched a new buybuy Baby website and a rejuvenated Bed, Bath & Beyond e-commerce location is slated to roll out by the end of the second quarter.
In the recently completed first quarter, ended June 1, Bed Bath & Beyond reported net earnings of $202.5 million, or 93 cents per diluted share, versus $206.8 million, or 89 cents per diluted share, in the period a year ago. Net earnings per diluted share in the quarter included one cent of distinct net tax benefit, or $2.6 million total, versus six cents of distinct net tax benefit, or $14.6 million total, in the 2012 period, the company related. Net sales for the quarter were $2.61 billion, an increase of 17.8% versus the year-ago period.
For the 53-week fiscal year ended March 2, Bed, Bath & Beyond Inc. posted net earnings of $1.04 billion, or $4.56 per diluted share, versus $989.5 million, or 4.06 per diluted share, in the 52-week period prior. Comparable store sales increased 2.7% year over year. Net sales reached $10.92 billion, up 14.9% from the year before, the retailer reported.