Bed Bath & Beyond Inc. (NASDAQ:BBBY) Q1 2019 Earnings Conference Call - Final Transcript

Jul 10, 2019 • 05:00 pm ET


Bed Bath & Beyond Inc. (NASDAQ:BBBY) Q1 2019 Earnings Conference Call - Final Transcript


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Welcome to Bed Bath & Beyond's First Quarter Fiscal 2019 Earnings Call. All participants will be in a listen-only mode until the Q&A portion of the call. Today's conference call is being recorded. A rebroadcast of the conference call will be available beginning on Wednesday, July 10th, 2019 at 8 o'clock P.M. Eastern time through 8 o'clock P.M. Eastern Time on Friday, July 12th, 2019. To access the rebroadcast, you may dial 888-843-7419 with a passcode ID of 48713230.

At this time, I would like to turn the conference call over to Janet Barth, Vice President, Investor Relations. Please go ahead.

Janet M. Barth

Thank you, Cheryl, and good afternoon, everyone. Before we begin, I want to remind you that our fiscal 2019 first quarter earnings release and slide presentation can be found in the Investor Relations section of our website at and as exhibits to a Form 8-K we filed just ahead of this call.

Joining me on our call today are Mary Winston, Bed Bath & Beyond Interim Chief Executive Officer and member of the Board of Directors; and Robyn D'Elia, our Chief Financial Officer and Treasurer.

Let me remind you that this conference call and the slides we refer to may contain forward-looking statements, including statements about or references to our internal models and our long-term objectives. All such statements are subject to risks and uncertainties that could cause actual results to differ materially from what we say during the call today. Please refer to our most recent periodic SEC filings for more detail on the risks and uncertainties, including the Risk Factors section in our Annual Report on Form 10-K. The Company undertakes no obligation to update or revise any forward-looking statements.

Additionally, the information we will discuss today contains certain financial measures that exclude amounts or subject to adjustments that have the effect of excluding amounts that are included in the most directly comparable measures prepared in accordance with generally accepted financial measures. A reconciliation to the most comparable measure is presented in accordance with GAAP which refer to the tables at the end of our earnings release available on our website and included as an exhibit to our Form 8-K filed today.

Some highlights from the first quarter include, adjusted net earnings per diluted share were $0.12 at the high end of our guidance range of between approximately $0.07 and $0.12 and excluded $3.03 related to a non-cash impairment of goodwill and other intangible assets as well as severance and shareholder activity comp.

Net sales declined approximately 6.6%, slightly below our guidance of approximately $2.6 billion. Retail inventories were reduced by approximately $124 million at cost or approximately 5% compared to the end of the prior year first quarter. We ended the first quarter with approximately $923 million of cash and investments, which is approximately 9% more than the amount we had at the end of the prior year period.

In addition, on July 8th, our Board of Directors declared a quarterly dividend of $0.17 per share