The company has reported sales and profit that missed expectations and provided an unexpected loss outlook for its third quarter.
“Our results for the quarter were tempered by continued supply chain and freight headwinds, as well as other inflationary pressures,” stated President and CEO Bruce Thorn.
Thorn expects the supply chain headwinds will continue into fall and holiday, and the situation remains “fluid.”
“But our team is working exceptionally hard to get through this and make sure that our assortments continue to surprise our customers and deliver phenomenal value,” he added.
Against this backdrop, Thorn said, the discount retailer continues to invest in its future growth. To enhance the in-store experience, Big Lots has launched “Project Refresh, a multi-year program to upgrade approximately 800 stores not included in its previous remodel initiative. Also, the company’s first forward distribution centre became operational at the end of the quarter, and the second will begin operations this week.
Big Lots’ net income totalled $37.7M, or $1.09 a share, for the quarter ended 31 July, compared to $452M, or $11.29 a share, in the year-ago period, which included a $341.9M after-tax benefit. Analysts had expected earnings per share of $1.12.
