Goldman Sachs expects Nvidia ’beat and raise,’ lifts price target to $240
MURRAY, Utah - Bed Bath & Beyond Inc. (NYSE:BBBY) shares jumped 4.7% after the company reported a significantly narrower than expected third-quarter loss, marking its seventh consecutive quarter of improvement toward profitability.
The home goods retailer posted an adjusted loss of $0.19 per share for the quarter ended September 30, substantially better than analysts’ expectations of a $0.46 per share loss. Net loss narrowed to $4.5 million, representing a 93% improvement YoY, while revenue came in at $257.2 million, slightly below the consensus estimate of $259.8 million and down 17.4% from the same period last year.
Gross margin improved 420 basis points YoY to 25.3%, while sales and marketing expenses gained efficiency of 260 basis points to 14% of revenue. Technology and general administrative expenses decreased by $13 million compared to the previous year.
"The third quarter marked substantial progress towards achieving profitability through outstanding metric performance," said Marcus Lemonis, Executive Chairman and Principal Executive Officer. "As the Company prepares for 2026, we expect year-over-year revenue trends to turn positive."
The company ended the quarter with a strong liquidity position, holding over $200 million in cash, cash equivalents, restricted cash, and inventory, with an additional $36 million in transit from at-the-market offering settlements post quarter end.
During the quarter, Bed Bath & Beyond invested an additional $3 million in GrainChain, its blockchain supply chain asset, and purchased the intellectual property of Kirkland’s for $10 million. The company also raised $113 million through its ATM offering, with proceeds intended to strengthen the balance sheet and pursue strategic investments.
"We have made meaningful financial and operational progress this year," said Adrianne Lee, President and Chief Financial Officer. "We recognize the necessity to generate more revenue while maintaining our disciplined approach to profitability."
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.