For Q4 2009 (ended Feb. 28, 2009), BBBY reported net income of $141 million, or $0.55 per diluted share. This is a 18% decline from the previous-year quarter, during which EPS was $0.66. However, earnings for Q4 2009 beat analyst expectations that estimated EPS to be around $0.44. Although hurt by lower consumer demand for its household discretionary goods and the weak retail and home markets, BBBY benefited from gaining market share from its niche-market rival Linens 'N Things, which declared bankruptcy in 2008.
In Q3 of FY2008 (ended 11/29/2008), BBBY's net income was $87.7 million, down 36.5% from that of the prior-year quarter. Comparable store sales were down 5.6%; much of the sales decrease may be attributed to the weak retail environment that has reduced consumer spending on non-essentials as well as the price pressure from liquidation of merchandise from the bankrupt competitor Linens 'N Things.
Sales for the home furnishing industry fell 13.5% in October 2008 due to the low customer demand caused by the bearish home market and grim retail envrionment. Home furnishings same-store sales are also expected to be negative for Q3 and Q4 of 2008. BBBY faces more challenges in this recession as customers forego consumption on non-necessities.
BBBY reported a 10.8% increase in net sales for the third fiscal quarter of 2007, but only a 0.8% increase in same store sales. Growing sales barely offset increased costs as net profit only grew from $388.4 million in the same quarter last year to $389.9 million this quarter.
BBBY announces that it will acquire buybuy BABY for $86 million in cash, as well as inherit its $19 million in debt.
BBBY announces that its First Quarter profits were below what they had expected due to a slow down in home sales. This caused stock prices to fall from $40.47 USD to $38.27 USD.
