Mattress Bath & Beyond is closing 200 shops as quarterly gross sales tumble nearly 50%

  • Mattress Bath & Beyond plans to shutter about 200 shops over the next two years.
  • On July 8, the company revealed an investor kin presentation that revealed Mattress Bath & Beyond intends to “lean into store closures” and “leverage necessary rent expirations coming due.”
  • The Mattress Bath & Beyond has floundered in fresh years, which skill that of the coronavirus pandemic and outdated leadership spats and monetarystruggles.
  • Consult with Industry Insider’s homepage for more tales.

Mattress Bath & Beyond is taking a stare to shut down about 200 “redundant” shops over the next two years.

The corporate launched the closures in its first-quarter investor-kinpresentation. The hunch deck mentioned the closures would “largely” have an effect on Mattress Bath & Beyond. The corporate also owns retail chains admire Steal Steal Toddler and Payment Plus Inc.

Going forward, Mattress Bath & Beyond will “lean into store closures” and “leverage necessary rent expirations coming due” so that you just can expose things round, in step with the presentation. The corporate has also nick back “prices associated with the repairs of shops.”

The bulk of Mattress Bath & Beyond store friends and definite corporate employees are furloughed which skill that of the pandemic.

The pandemic hit Mattress Bath & Beyond laborious, prompting the retailer to briefly conclude all of its shops on March 23. The corporate suffered a discover lack of $302.29 million within the foremost quarter, down from $371.09 million a twelve months ago. Sales plunged 49%, sinking from $1.31 billion from $2.57 billion in 2019.

In an earnings call with analysts, Chief Monetary Officer and Treasurer Gustavo Arnal mentioned the tumble in gross sales came about “basically which skill that of the short-time frame store closures.” Most of Mattress Bath & Beyond’s shops grasp since reopened. 

But Mattress Bath & Beyond’s struggles date back to beyond the onset of the coronavirus pandemic, because it has confronteddeclining gross sales. Weak Target Chief Advertising and marketing Officer Designate Tritton took on the role of CEO in November, numerous months after agroupof activist traders pushed for the ouster of CEO Steven Temares. The retailer launched its plans toconclude 44 shops across eight statesearlier this twelve months.

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