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Shares of Bed Bath & Beyond (NASDAQ:BBBY) are down almost 15% in pre-open Wednesday after the company reported a much wider-than-expected Q1 loss.
BBBY reported an adjusted loss per share of $2.83, much bigger than a loss of $1.33 per share that was expected by surveyed analysts. Net sales came in at $1.46 billion to miss on the $1.51 consensus.
Comparable sales fell 23%, again worse than the expected drop of 19.4%.
Looking forward, the company expects “sequential comparable sales recovery to occur in the second half of fiscal 2022 versus the first half of fiscal 2022 driven by inventory optimization plans, including incremental clearance activity.”
In a separate statement, BBBY named Sue Gove as interim CEO to replace Mark Tritton.
Goldman Sachs analyst Kate McShane said BBBY delivered “a sizable miss to our and market expectations on both the top and bottom line.”
“We expect the market reaction to be meaningfully negative and expect bonds to underperform the market today,” McShane told clients in a note.
