UNION, N.J., Sept. 20 /PRNewswire/ -- Bed Bath & Beyond Inc. (Nasdaq: BBBY) today reported that in the fiscal second quarter (thirteen weeks) ended August 26, 2000, as compared with the fiscal second quarter (thirteen weeks) ended August 28, 1999, net earnings increased by 31.1% and net earnings per share grew to $.15 from $.12, on an increase in net sales of 30.5%.
Net earnings for the fiscal second quarter of 2000 were $43.6 million, compared with $33.2 million earned in the fiscal second quarter of the prior year. Net sales for the fiscal second quarter were $597.0 million compared to net sales of $457.6 million achieved in the corresponding quarter of the prior year. Comparable store sales for the fiscal second quarter increased by approximately 6.1%.
For the fiscal first half (twenty-six weeks) ended August 26, 2000, net earnings increased 30.9% to $66.9 million ($.23 per share) from $51.1 million ($.18 per share) earned in the comparable period (twenty-six weeks) of the prior year. Net sales for the fiscal six months rose 29.7% to $1.1 billion from $817.0 million for the corresponding period of the prior year. Comparable stores sales for the fiscal first half increased by approximately 5.6%.
Per share amounts have been adjusted to reflect the two-for-one stock split of the Company's common stock on August 11, 2000 (which was effected in the form of a 100% stock dividend).
Total store space as of the end of the fiscal second quarter, during which twenty-one new superstores were opened, grew to approximately 10,808,000 square feet, an increase of approximately 30.4% over total store space of approximately 8,286,000 square feet at the end of the fiscal first half a year ago.
As of August 26, 2000, Bed Bath & Beyond Inc. operated 272 stores. Since that date, the Company has opened 6 additional superstores bringing to 278 stores in 41 states the total number of stores now in operation. Including these stores, the Company has opened 37 new superstores, including its first units in Rhode Island, Mississippi and North Dakota, since the beginning of its fiscal year.
The Company plans to open approximately 27 additional superstores, in both new and existing markets, during the remainder of the current fiscal year, and expects to be operating approximately 305 stores in 42 states by year end.
Bed Bath & Beyond Inc. is a nationwide chain of superstores selling better quality domestics merchandise and home furnishings. Its stock is traded on NASDAQ under the symbol "BBBY" and is included in the Standard & Poor's 500 Index and the NASDAQ-100 Index.
This press release may contain forward looking statements. Important factors which may affect these statements are contained in the Company's Annual Report to Shareholders for the fiscal year ended February 26, 2000 and may be contained in any subsequent reports filed by the Company with the Securities and Exchange Commission.
BED BATH & BEYOND INC. AND SUBSIDIARIES
Consolidated Statements of Earnings
(in thousands, except per share data)
(unaudited)
Three Months Ended Six Months Ended
August 26, August 28, August 26, August 28,
2000 1999 2000 1999
Net sales $597,001 $457,586 $1,059,736 $816,958
Cost of sales,
including buying,
occupancy and
indirect costs 355,502 272,016 630,891 485,174
Gross profit 241,499 185,570 428,845 331,784
Selling, general and
administrative
expenses 171,490 131,990 322,497 250,189
Operating profit 70,009 53,580 106,348 81,595
Interest income 1,431 923 3,393 2,225
Earnings before
provision for income
taxes 71,440 54,503 109,741 83,820
Provision for income
taxes 27,862 21,256 42,799 32,690
Net earnings $43,578 $33,247 $66,942 $ 51,130
Net earnings per
share - Basic $0.15 $0.12 $0.24 $0.18
Net earnings per
share - Diluted $0.15 $0.12 $0.23 $0.18
Weighted average shares
outstanding
- Basic 282,872 279,556 282,298 279,305
Weighted average shares
outstanding
- Diluted 291,363 288,334 290,661 288,204 BED BATH & BEYOND INC. AND SUBSIDIARIES Consolidated Balance Sheets (in thousands, unaudited)
August 26, August 28,
2000 1999
Assets
Current assets:
Cash and cash equivalents $147,700 $130,845
Merchandise inventories 594,602 439,535
Prepaid expenses and other current assets 38,635 27,754
Total current assets 780,937 598,134
Property and equipment, net 245,686 160,457
Other assets 10,904 11,494
$1,037,527 $770,085
Liabilities and Shareholders' Equity
Current liabilities:
Accounts payable $214,250 $151,558
Accrued expenses and other current
liabilities 120,974 109,991
Income taxes payable 32,074 21,124
Total current liabilities 367,298 282,673
Deferred rent 21,616 18,177
Total liabilities 388,914 300,850
Total shareholders' equity 648,613 469,235
$1,037,527 $770,085
BED BATH & BEYOND INC. AND SUBSIDIARIES
Consolidated Statements of Cash Flows
(in thousands, unaudited)
Six Months Ended
August 26, August 28,
2000 1999
Cash Flows from Operating Activities:
Net earnings $ 66,942 $51,130
Adjustments to reconcile net earnings to
net cash provided by operating
activities:
Depreciation and amortization 20,691 14,198
Tax benefit from exercise of stock options 13,312 3,685
Deferred income taxes (3,865) (2,507)
Increase in assets:
Merchandise inventories (124,169) (79,198)
Prepaid expenses and other current assets (2,360) (2,999)
Prepaid expenses and other current assets (2,999) (2,999)
Other assets (889) (1,765)
Increase (decrease) in liabilities:
Accounts payable 69,136 52,188
Accrued expenses and other current liabilities 12,895 20,266
Accrued expenses and other current liabilities 20,266 20,266
Income taxes payable (1,516) 4,514
Deferred rent 1,644 1,821
Net cash provided by operating activities 51,821 61,333
Cash Flows from Investing Activities:
Capital expenditures (57,466) (24,217)
Net cash used in investing activities (57,466) (24,217)
Cash Flows from Financing Activities:
Proceeds from exercise of stock options 9,314 3,333
Net cash provided by financing activities 9,314 3,333
Net increase in cash and cash equivalents 3,669 40,449
Cash and cash equivalents:
Beginning of period 144,031 90,396
End of period $147,700 $130,845
SOURCE Bed Bath & Beyond Inc.
CONTACT: Investor Relations - Ronald Curwin, Chief Financial Officer and Treasurer, Ext. 4550, Kenneth C. Frankel, Director of Financial Planning, Ext. 4554; Paula J. Marbach, Investor Relations, Ext. 4552, or Fax: 908-810-8813, all of Bed Bath & Beyond Inc./