Comparable sales dropped in Bed Bath & Beyond’s fiscal fourth quarter, but the company still managed to soundly beat an analyst earnings estimate.
For the fiscal 2019 fourth quarter, Bed Bath & Beyond reported a net loss of $65.4 million, or 53 cents per diluted share, compared to a net loss of $253.8 million, or $1.92 per diluted share, in the year-previous quarter.
Adjusted earnings per share, excluding non-recurring items, were $46.9 million, or 38 cents per diluted share, versus an adjusted net loss of $158.8 million, or $1.20 per diluted share, versus the year-before quarter. The company’s adjusted diluted earnings per share topped a MarketBeat-published analyst consensus estimate of 20 cents.
Comparable sales in the fourth quarter decreased 5.6% and net sales slipped 6.1% to $3.11 billion in the period year over year.
Bed Bath & Beyond noted that the 2019 fourth quarter got a boost from the Cyber Monday holiday week, which occurred in the company’s third quarter in the 2018 period. With the calendar shift adjusted to exclude Cyber Monday week in both periods, comparable sales for the fiscal 2019 fourth quarter declined 11%. Operating loss was $81.2 million versus an operating loss of $296.7 million in the year-earlier quarter.
For fiscal 2019, Bed Bath & Beyond posted a net loss of $613.8 million, or $4.94 per diluted share, compared to a net loss of $137.2 million, or $1.02 per diluted share, in the fiscal year previous. Adjusted net earnings were $57.3 million, or 46 cents per diluted share, versus $264.8 million, or $1.97 per diluted share, in the year before.
Comparable sales for the year decreased 6.8% and net sales slid 7.2% to $11.16 billion year over year. Operating loss was $700.1 million versus an operating loss of $87.1 million in the year earlier.
“Our fourth quarter performance was consistent with the market update we provided on February 11,” said Mark Tritton, Bed Bath & Beyond’s president and CEO. “These results strengthen our resolve to continue to make the necessary, bold and broad-based changes needed to modernize our business, and give us confidence about our ability to improve on this quarterly performance. We are executing a clear plan to manage our business efficiently and effectively through the coronavirus pandemic, prioritizing the health and safety of our customers and teams. Our financial position and contingency plans will allow us to retain the financial flexibility to make targeted investments that will deepen our connection with our customers and rebuild our authority in the home space. In this time when home is even more central to our lives and being safe at home with family is essential, Bed Bath & Beyond takes on an even more important role supporting customers and their families by making it easy to feel at home.”