Bed Bath 2Q Earnings Up

Union, NJ, September 21, 2006–Bed Bath & Beyond Inc., said its second-quarter profit rose 2.9 percent on a double-digit growth in sales.

For the quarter ended Aug. 26, net income amounted to $145.5 million, or 51 cents per share, in line with the average Thomson estimate.

Revenue rose 12.3 percent to $1.61 billion, and same-store sales, a key metric measuring sales in stores open at least a year, rose 4.8 percent during the quarter.

Analysts expected sales of $1.6 billion, on average.

Profit in the year-ago quarter was $141.4 million, or 47 cents per share, on sales of $1.43 billion.

The company, which operated 831 stores nationwide and in Puerto Rico at quarter-end, said its board is voluntarily reviewing past stock options grants.

Bed Bath & Beyond expects to provide further details about the review when it files its quarterly report with the Securities and Exchange Commission next month.