Bed Bath & Beyond Inc. (BBBY - Free Report) released its third quarter fiscal 2016 financial results after the bell, posting earnings of 85 cents per diluted share and revenues of $2.955 billion. BBBY is a #4 (Sell) on the Zacks Rank, and is down 3.42% to $43.75 per share in after-hours trading.

Missed earnings estimates. The company reported earnings of 85 cents per diluted share, falling short of the Zacks Consensus Estimate of $1.00 per share and declining 22% year-over-year.

Missed revenues estimate. The company saw revenue figures of $2.955 billion, lagging behind our consensus estimate of $3.018 billion but increasing 0.1% year-over-year.

Comparable sales in the quarter decreased by roughly 1.4%. Comps from customer-facing digital channels grew 20% while comparable sales from stores declined in the low single-digit percentage range.

Bed Bath & Beyond expects its fiscal 2016 net earnings per diluted share to be at the low end of the $4.50 to just over $5.00 range that it has earned over the past several years, during a heavy investment phase. 

Here’s a graph that looks at Bed Bath & Beyond’s price, consensus, and EPS surprise:

BED BATH&BEYOND Price, Consensus and EPS Surprise

BED BATH&BEYOND Price, Consensus and EPS Surprise | BED BATH&BEYOND Quote

Bed Bath & Beyond is a nationwide operator of superstores selling predominantly better quality domestics merchandise and home furnishings typically found in better department stores. The Company offers a wide assortment of merchandise at everyday low prices that are substantially below regular department store prices and generally comparable to or below department store sale prices. The Company's domestics merchandise line includes items such as bed linens, bath accessories and kitchen textiles, and the company's home furnishings line.