Bed Bath and Beyond to shutter down 60 stores

Bed Bath and Beyond to shutter down 60 stores

One of the most popular retail ventures, Bed Bath and Beyond is about to close its 60 stores across the company which is 20 more than estimated.

Bed Bath and Beyond is an American chain of domestic merchandise stores that operates in the US, Puerto Rico, Canada, and Mexico. It is one of the old domestic merchandise stores that started back in 1971.

It is facing such a downfall due to various reasons. Activist investors that purchase a large number of public company shares and try to be on the company’s board targeted Bed Bath and Beyond earlier this year.

Although the company agreed to make changes to its board of directors and management team after becoming a target by activist investors.

Bed Bath and Beyond said that it earned more than the predictions of analysts. BBBY earned 34 cents a share on revenue of $2.72 billion in the latest quarters. Analysts were predicting 31 cents and $2.76 billion.

The same-store sales fell by 6.7 % in the latest quarter which harmed Bed Bath and Beyond a lot.

In May 2019, Steven Temares stepped down as a result of activist investors’ strong demand for changes at the retailer. Bed Bath & Beyond stated that it will make an announcement of new permanent CEO very soon as it has made substantial progress toward identifying a new CEO.

Bed Bath and Beyond are trying hard to get out of the excess inventory and chaotic discounting and stores.

Due to this downfall, investors are wondering about its future. Bed Bath and beyond are stock fell 28% in the past year, with a market value of $1.2 billion.

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