UNION, N.J.–Bed Bath & Beyond posted an earnings drop of nearly 19 percent on a sales gain for the second quarter ended Aug. 30.
Bed Bath & Beyond’s net earnings fell to $119.3 million from $147.0 million in the prior-year quarter.
Net sales rose 4.9 percent to $1.85 billion from the year-ago quarter. Comparable-store sales decreased 0.1 percent.
The 907-unit retailer will open 50 stores in 2008, fewer than previous years, and sees an opportunity for about 400 more units in the United States, executives said during a conference call.
The retailer is hot on the Canadian market, where it opened the first Bed Bath store last year.
Bed Bath executives reiterated that the company signed on for about 12 more sites in Canada, and is negotiating for another 12 sites, said Warren Eisenberg, co-chairman, during the call.
The retailer is also bullish on its Christmas Tree Shop and buybuy Baby formats.
Bed Bath will open 12 new Christmas Tree Shops and several buybuy Baby stores.
The idea is to “take advantage of additional real estate opportunities as a result of ongoing consolidation in the industry,” Eisenberg said.
Bed Bath will also add fine china departments to more stores, executives said.