Bed Bath & Beyond has replaced its CEO, the retailer announced Wednesday (June 29) in the wake of another disappointing earnings report.
Sue Gove, an independent director on the company’s board and chair of its strategy committee, has been named interim chief executive of the household furnishings provider, replacing Mark Tritton, who is stepping down as president, CEO and board member.
“After thorough consideration, the board determined that it was time for a change in leadership,” Harriet Edelman, the board’s chair, said in a press release. “We are committed to addressing the urgent issues that have been impacting sales, profitability, and cash flow generation.”
Learn more: Bed Bath & Beyond Slams Into Unforeseen ‘Impediments and Vulnerabilities’
The announcement came as Bed Bath & Beyond released results for the first quarter of fiscal 2022, showing a 27% decline in comparable sales, a trend the company attributed to a “rapid” shift in consumer spending habits and a drop in demand in the home sector.
Since then, pressures have only been exacerbated, Gove said.
See also: Bed Bath & Beyond Debuts Rewards, BNPL Offering
“This includes steep inflation and fluctuations in purchasing patterns, leading to significant dislocation in our sales and inventory that we will be working to actively resolve,” she said. “The simple reality though is that our first quarter’s results are not up to our expectations, nor are they reflective of the company’s true potential.”
The company’s earnings for the three months ended Feb. 26 showed a 12% decline in same-store sales and an 18% drop in its online business.
Last week, Bed Bath & Beyond launched a program that lets customers earn and redeem points at its three retail brands, along with a new buy now, pay later (BNPL) option.
The rewards program, dubbed Welcome Rewards, is available at Bed Bath & Beyond, buybuy BABY, and Harmon sites and on each brand’s app, and is due to be launched at all stores in the coming weeks.
Read more: Dollar Tree Replacing CFO, Other Execs
The company’s leadership change came one day after discount retailer Dollar Tree said it was replacing its chief financial officer and chief operating officer.
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