Finance

Bed Bath & Beyond Reports Q3 Earnings, Shares Jump on Expected 2026 Revenue Growth

2025-10-27

Bed Bath & Beyond Inc. (BBBY) announced its financial outcomes for the third fiscal quarter, surpassing loss projections and signaling an anticipated revenue increase for the upcoming year, which led to a notable surge in its stock value during after-hours trading.

Detailed Report on Bed Bath & Beyond's Q3 Performance and Future Outlook

On Monday, October 27, 2025, after the market closed, Bed Bath & Beyond Inc. (BBBY) released its financial results for the third fiscal quarter. The company reported a revenue of $257.19 million, which, according to Benzinga Pro data, fell slightly short of analyst predictions of $260.12 million. However, the retailer successfully narrowed its adjusted loss to 19 cents per share, outperforming the estimated loss of 32 cents per share.

A closer look at the results reveals a 17.4% decrease in total revenue compared to the previous year. When excluding the impact of the company's withdrawal from the Canadian market, the revenue decline was 13.2% year-over-year. Significantly, the net losses for the quarter saw a substantial reduction of 93% from the prior year. The quarter concluded with Bed Bath & Beyond possessing $202 million in cash, cash equivalents, restricted cash, and inventory.

Marcus Lemonis, the executive chairman and principal executive officer of Bed Bath & Beyond, expressed optimism about the company's future. He stated, \"As the Company prepares for 2026, we expect year-over-year revenue trends to turn positive. We believe this upward trajectory, combined with margin consistency, an additional $20 million in operating expense efficiencies, and improved site conversion, position the Company to achieve its profitability objectives.\" The management team was scheduled to elaborate on these points in an earnings call at 4:30 p.m. ET.

It is worth noting the company's recent history: Bed Bath & Beyond filed for bankruptcy in 2023, leading to the sale of its remaining assets to Overstock.com. Overstock subsequently rebranded to Beyond Inc, and later, in August, adopted the corporate name Bed Bath & Beyond Inc.

Following the announcement, Bed Bath & Beyond shares experienced a 6.06% increase in after-hours trading, reaching $9.10 at the time of publication on Monday, according to Benzinga Pro data.

This report highlights a critical turnaround for Bed Bath & Beyond, demonstrating its resilience and strategic planning post-bankruptcy. The market's positive reaction underscores investor confidence in the new management's ability to steer the company towards profitability and sustained growth. It serves as a compelling example of how strategic restructuring and a clear future vision can revitalize a brand, offering valuable lessons for other companies navigating challenging economic landscapes.

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