FARGO — According to a business update released Thursday, Jan. 5, Bed Bath and Beyond expects to report a net loss of $385.8 million for the third quarter of 2022 and is mulling filing for bankruptcy.
Further, the announcement called into question the company’s ability to remain operational. Writing that the company is working to “improve its cash position and mitigate any potential liquidity shortfall,” ongoing losses mean “the company has concluded that there is substantial doubt about the company’s ability to continue as a going concern.”
Fargo has one Bed Bath and Beyond store, located at 4340 13th Ave. S. In a statement provided via email to The Forum, Bed Bath and Beyond wrote via email they “do not comment on speculation of this nature.”
However, the statement noted that the company has been “working with strategic advisors to evaluate all paths to regain market share and enhance liquidity, our stated priorities.”
“Such paths may include restructuring or refinancing our debt, seeking additional debt or equity capital, reducing or delaying the company’s business activities and strategic initiatives, or selling assets, other strategic transactions and/or other measures. No determinations have been made as of this time,” the statement continued.
“We have a clear vision for the future of the company. We remain committed to updating our key stakeholders as we collectively work to execute our near- and long-term goals,” the statement concluded.
Bed Bath and Beyond will hold a third quarter earnings call at 7:15 am, Tuesday, Jan. 10. A press release containing results from the third quarter will be released 45 minutes prior to the call.
According to the company’s investor overview website, the company operates 955 stores in the United States, Canada and Puerto Rico. That totally included buybuy BABY and Harmon or Face Values branded stores.
A document on the company’s investor site, last updated in September, lists 56 locations which closed in 2022, including one in St. Cloud, Minn.
The latest bankruptcy concern is not the first time North Dakota Bed Bath and Beyond stores faced closing. In 2020, the company announced plans to slim its brick-and-mortar footprint, however the Fargo and Bismarck stores were not impacted.
A Bed Bath and Beyond store in Grand Forks closed in 2019. The Bismarck store remains open.