Bed Bath & Beyond Stock Rallies Despite Q3 Earnings Miss: What Did Retailer's CEO Say On Conference Call?

Bed Bath & Beyond Inc BBBY shares are ripping higher Tuesday despite the company turning in worse-than-expected financial results. Here's a rundown of the report and a look at some highlights from the conference call.

Q3 Results: Bed Bath & Beyond reported third-quarter revenue of $1.26 billion Tuesday, which missed average analyst estimates of $1.34 billion, according to Benzinga Pro.

The struggling retailer reported a quarterly adjusted net loss of $3.65 per share, which missed estimates for a loss of $2.11 per share.

Bed Bath initiated a turnaround plan at the beginning of the third quarter. Although the company said it moved quickly to change assortment and other merchandising and marketing strategies, inventory remained constrained and Bed Bath failed to achieve its goals.

The company said it ended the quarter with approximately $225 million in cash and equivalents.

Related Link: Bed Bath & Beyond Reports Q3 Earnings Below Street View; Says Exploring Multiple Paths

Bed Bath & Beyond shares traded lower on the report before the stock found its footing and staged a reversal.

Bed Bath & Beyond Management Commentary: On the conference call, CEO Sue Gove told analysts and investors the company has seen significant sales trend improvements sequentially, as well as on a year-over-year basis. She added that in-stock levels have improved to a range above 80%, particularly related to Bed Bath circular items and BuyBuy Baby.

"Our customers are still coming to us for their needs," Gove said.

The company continues to work with advisers to consider all strategic alternatives, the CEO said.

Multiple paths are being explored, and next steps are expected to be determined "in a timely manner," Gove said: "We are implementing our plan expeditiously while managing our financial position in a changing landscape."

See Also: Bed Bath & Beyond Stock Gained On M&A Speculation And Meme Stock Frenzy: Report

BBBY Price Action: Bed Bath & Beyond has a 52-week high of $30.06 and a 52-week low of $1.27.

The stock was up 20.28% at $1.95 late Tuesday morning, according to Benzinga Pro.

Photo: Mike Mozart from Flickr.