Bed Bath & Beyond profit up, but slowing growth a concern
Union, N.J. -- Bed Bath & Beyond Inc. reported Thursday that net income rose 14.5% to $206.8 million, compared with $180.6 million in the year-ago period.
Revenue increased 5.1% to $2.22 billion from the year-earlier quarter, missing Wall Street’s projected $2.25 billion in revenue. Same-store sales rose 3%.
Although the retailer has now seen its net income increase for three consecutive quarters, the rate has been steadily dropping. In the fourth quarter of the last fiscal year, net income rose 23.8% and in the third quarter of the last fiscal year, the figure rose 21.2%.
Revenue also has increased for four quarters in a row, but at a lessening rate. Revenue increased 9.1% to $2.73 billion in fourth quarter of last year, rose 6.8% in the third quarter and climbed 8.3% in the second quarter of last year.
Bed Bath & Beyond announced in May that it will buy home decor retailer Cost Plus Inc. for about $495 million. Earlier this month, it announced it will acquire textile company Linen Holdings LLC.