UNION, N.J., March 29 /PRNewswire/ -- Bed Bath & Beyond Inc. today reported net earnings of $48.4 million ($.34 per share) for the fiscal fourth quarter ended February 26, 2000, an increase of approximately 41.5% from the $34.2 million ($.24 per share) earned in the fiscal fourth quarter of 1998. Net sales for the fiscal fourth quarter of 1999 were $574.6 million, an increase of approximately 37.0% from the fiscal fourth quarter of 1998. Comparable store sales for the fiscal fourth quarter of 1999 increased by approximately 9.6% from the corresponding period last year, when comparable store sales increased by approximately 10.8% from the corresponding fiscal quarter of 1997.
Fiscal 1999 net earnings totaled $131.2 million ($.91 per share), exceeding fiscal 1998 net earnings of $97.3 million ($.68 per share) by approximately 34.8%. Fiscal 1999 was the 8th consecutive year of record earnings since the Company's 1992 IPO. Over the eight year period ended February 26, 2000, net earnings has grown by an average annual rate of approximately 34.9%. Net sales for fiscal 1999 were $1,878.0 million, an increase of approximately 34.4% from a year ago. Comparable store sales for fiscal 1999 increased by approximately 9.2% from the prior year, when comparable store sales increased by approximately 7.6% from fiscal 1997.
At the end of fiscal 1999, Bed Bath & Beyond Inc. operated 241 stores in 38 states, including 55 new superstores opened during the year. In addition, four stores were expanded during the year. States entered for the first time during fiscal 1999 were Arkansas, Iowa, Louisiana and Nevada. Total store space grew to approximately 9,815,000 square feet, an increase of approximately 2,127,000 square feet (27.7%) over total store space of approximately 7,688,000 square feet occupied by 186 stores in 34 states operating at the end of fiscal 1998. During the fiscal fourth quarter of 1999, four new superstores were opened.
Bed Bath & Beyond Inc. plans to open approximately 60 new superstores in both new and existing markets during fiscal 2000. Thus far in March, new superstores have opened in Providence, RI, representing our first store in this state, and in Montgomeryville, PA.
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. The Company has been assigned an investment grade credit rating by Standard & Poor's.
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 27, 1999 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 Balance Sheets
(in thousands)
February 26, February 27,
2000 1999
Assets
Current assets:
Cash and cash equivalents $144,031 $90,396
Merchandise inventories 470,433 360,337
Prepaid expenses and other
current assets 32,904 22,529
Total current assets 647,368 473,262
Property and equipment, net 208,911 150,438
Other assets 9,521 9,448
$865,800 $633,148
Liabilities and Shareholders' Equity
Current liabilities:
Accounts payable $145,114 $99,370
Accrued expenses and other
current liabilities 108,079 89,725
Income taxes payable 33,590 16,610
Total current
liabilities 286,783 205,705
Deferred rent 19,972 16,356
Total liabilities 306,755 222,061
Total shareholders' equity 559,045 411,087
$865,800 $633,148
BED BATH & BEYOND INC. AND SUBSIDIARIES
Consolidated Statements of Earnings
(in thousands, except share and per share data)
Three Months Ended Twelve Months Ended
February 26, February 27, February 26, February 27,
2000 1999 2000 1999
Net sales $574,551 $419,249 $1,877,966 $1,397,197
Cost of sales, including buying,
Occupancy and indirect
costs 336,263 243,719 1,111,110 821,072
Gross profit 238,288 175,530 766,856 576,125
Selling, general and
administrative
expenses 161,150 120,136 557,516 418,073
Operating profit 77,138 55,394 209,340 158,052
Interest Income 2,194 1,368 5,790 3,517
Earnings before provision
for income
taxes 79,332 56,762 215,130 161,569
Provision for income
taxes 30,940 22,562 83,901 64,223
Net earnings $48,392 $34,200 $131,229 $97,346
Net earnings per
share - Basic $0.34 $0.25 $0.94 $0.70
Net earnings per
share - Diluted $0.34 $0.24 $0.91 $0.68
Weighted average shares
outstanding
- Basic 140,375,147 139,336,228 139,965,010 138,842,151
Weighted average shares
outstanding
- Diluted 144,090,628 144,177,763 144,116,776 143,235,599
BED BATH & BEYOND INC. AND SUBSIDIARIES
Consolidated Statements of Cash Flows
(in thousands)
Twelve Months Ended
February 26, February 27,
2000 1999
Cash Flows from Operating Activities:
Net Earnings $131,229 $97,346
Adjustments to reconcile
net earnings to net cash
provided by operating activities:
Depreciation and
amortization 31,625 23,217
Tax benefit from exercise
of stock options 8,932 11,546
Deferred income taxes (8,197) (5,166)
(Increase) decrease in assets:
Merchandise
inventories (110,096) (89,980)
Prepaid expenses and
other current assets (2,347) (2,223)
Other assets 96 (1,276)
Increase in liabilities:
Accounts payable 45,744 34,652
Accrued expenses and other
current liabilities 18,354 16,115
Income taxes payable 16,980 4,595
Deferred rent 3,616 3,766
Net cash provided by
operating activities 135,936 92,592
Cash Flows from Investing Activities:
Capital expenditures (90,098) (62,274)
Net cash used in investing
activities (90,098) (62,274)
Cash Flows from Financing Activities:
Proceeds from exercise of
stock options 7,797 6,798
Net cash provided by financing
activities 7,797 6,798
Net increase in cash and cash
equivalents 53,635 37,116
Cash and cash equivalents:
Beginning of period 90,396 53,280
End of period $144,031 $90,396
SOURCE Bed Bath & Beyond Inc.
CONTACT: Investors - Ronald Curwin, Chief Financial Officer and Treasurer, 908-688-0888, Ext. 4550, Kenneth C. Frankel, Director of Financial Planning, 908-688-0888, Ext. 4554, or Paula J. Marbach, Investor Relations, 908-688-0888, Ext. 4552, or fax, 908-810-8813, all of Bed Bath & Beyond Inc/