Against that backdrop, the latest quarterly earnings results from Bed Bath & Beyond Inc. stand out, because they show the long-suffering home goods chain to be in comeback mode.
Bed Bath & Beyond, which also owns stores such as Buybuy Baby and World Market, reported on Thursday that comparable sales rose 6% in the three months ended in August from a year earlier, its first gain on that measure since the end of 2016. Executives said on a conference call that the trend continued into September, suggesting the company is sustaining momentum as the crucial holiday season approaches. Despite recording a 89% increase in digital sales — which can crimp profitability because of shipping costs — the retailer managed to deliver a higher adjusted gross margin than a year ago. The improvements sent shares soaring more than 30% on Thursday morning.
Bed Bath & Beyond is certainly benefitting from factors